Q: What’s a realistic, reasonable expectation of long-term annualized compound return?

%%%%%%A: primarily depends on the historical period you are looking at, assuming we use historical return as a basis for forecast. Regime change is rather common. For example, real estate growth was very high for some time, but now … slower.

Rental yield is more stable and resistant to regime change.

%%%%%% A: depends on the asset class

• My FundSuperMart equity investment averaged 3-5% over 4 years
• GIC 20Y return is 6.1%.
• hedge funds — if a fund can consistently deliver 6% (to their customers) it’s considered pretty good, according to an insider
• insurance — I think 4% posted return is a common, conservative expectation.
  • CPF Life annualized return? Perhaps, presumably 5-7% with severe illiquidity .
  • Insurance as an asset class has poor liquidity and long lock-in period, but only 3% – 5% annualized return. Insurance companies typically achieve negative 10% to positive 20% investment return each year on their internal portfolio.
• Property
  • My Blk 177 flat? roughly 10%+ excluding rental income.
  • top cities in Asia? roughly 10% – 15%
• alternative investments
  • [a] 24% achieved over 2Y — German property private high-yield bond
  • [a] 28% achieved over 2Y — Brazil property private high-yield bond
  • [a] 33% per year to be delivered — Asian property private high-yield bond
• [a=not compound annualized)