Life would be much easier if we could predict the future. But even with their collective knowledge and wisdom, investors as a group-the market-can't predict the future.
You can take comfort in knowing that you do have a reliable indicator of how risky a stock or bond holding is. Just check its price. Now studies by Marlena Lee, a research associate at Dimensional Fund Advisors (DFA), show that markets reliably price the chances that a country's GDP will grow.
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