Dividend Aristocrats Will Continue to Outperform [View article]
Geoff: If agents are rational and forward looking, and past information of returns and risk are at their disposal; knowing that a montecarlo simulation which uses this information shows that a basket of stocks will outperform the S&P, shouldn't create an arbitrage opportunity that will soon erase the return diferential, so that the future expected return of this basket is the same of that of the S&P?
Dividend Aristocrats Will Continue to Outperform [View article]
If agents are rational and forward looking, and past information of returns and risk are at their disposal; knowing that a montecarlo simulation which uses this information shows that a basket of stocks will outperform the S&P, shouldn't create an arbitrage opportunity that will soon erase the return diferential, so that the future expected return of this basket is the same of that of the S&P?