Will Bonds Outperform Stocks over the Next Ten Years??

In My Opinion

YES!

Mutual Funds cash levels at all time lows; investor’s sentiment all time high; Shiller PE hovering around 40 times earnings; S&P 500 dividend yield 1.14% compared to long term investment grade corporate bonds yielding 5.68% overtime will force a reduction in risk premium for stocks (stocks will drop in price).

For younger folks who have 20 plus years ahead before retirement IMO long term investment grade corporate bonds will outperform the S&P 500.  As long as this huge spread between dividend yield and bond yield remains bonds are the preferred choice for long term compounding.