T-bills Beat Most Global Stocks?
July 30, 2019 - Equity Premium
Do most stocks worldwide beat the risk-free rate of return? In their July 2019 paper entitled “Do Global Stocks Outperform US Treasury Bills?”, Hendrik Bessembinder, Te-Feng Chen, Goeun Choi and John Wei compare returns of individual global common stocks to that of 1-month U.S. Treasury bills (T-bills). They screen stock price data for obvious errors… Keep Reading