Schroders’ economists provide 30-year return forecasts annually, offering a long-term perspective across global asset classes. As per the asset manager, these forecasts stand out by incorporating the impact of climate change, which is layered onto foundational building blocks to generate their projections. Part 1 outlines the methodology the team used to incorporate climate change into their return assumptions. Part 2 discusses the 30-year forecasts for cash, bonds, credit, equities, and real estate.

“This year, we anticipate higher returns across various asset classes, both in real and nominal terms, especially within the fixed income markets. At the global level, our forecast for equity returns has increased due to stronger expected returns in developed markets, particularly in the US,” says strategist Tina Fong.

Read the full forecasts here.