The problem with log-scale charts like the first one below is that they make the returns look much closer than they actually are. The second chart shows roughly the same data (mine only goes back to 1928 and doesn't include small-cap, etc.), but in linear form. As you can see, the difference in returns is so stark that bonds and inflation look like they're part of the x-axis as equities ran away from both over time.

For investing time horizons measured in decades, be sure to do the math on what you're giving up to avoid equity's temporary (in the US, historically always temporary) volatility. It's far, far greater than what most people think.

I recently built the best Life Insurance Needs Calculator on the entire internet on the Market Return Data site.

It's thorough but easy to understand, and you can even download the output as a PDF if you want to keep a copy.

Reply and tell me what you think.

I created a new inflation calculator on the Market Return Data site.

You can pick any period, see how inflation moved over time, and compare today's rate with the compounded average for that period.

For instance, the last 50 years show large changes in inflation, and August's 3.4% was slightly below the 50-year average of 3.59%. So, for everyone in the media saying or implying that inflation is abnormally high today, the long-term data doesn't necessarily support that position.

For most of my career, my writing has been for other people's audiences. As an advisor, I wrote for clients. Today most of what I write is for advisors to share with theirs.

This blog is where I write for myself. Plenty of it will be about investing, since that's what I think about most. The rest will be about whatever has my attention that week.

Most posts will be short. Every one shows up here in full, and in your inbox if you subscribe. Nothing to click through to read the rest.

If something here is useful, or you think I've got it wrong, reply and tell me. I read every reply.