Asset Allocator's Soapbox: Can we trust the bull market?

The economic recovery from March 2009 lows has seen the S&P 500 return 200% in just five years. The ‘recovery ratio', as measured by the size of gain needed to recover an investment loss versus the time taken to do so, has proven to be entirely out of kilter with some of the other corrections in history. That is to say the stock market gains have been much quicker and larger than one would normally expect, especially as this was not a one-off impact but a downturn with enduring economic consequences. Indeed, investors focused on quality and value shares can be forgiven for scratching ...