614****46392023-11-04 19:40:24

When the economy is at the trough of the business cycle, equities perform well, and valuation ratios and earnings growth are expected to increase. The analyst could also use the Grinold- Kroner model to compute the required equity risk premium and increase the portfolio’s equity weights. At this stage, the yield curve is steep with high credit and term premiums. The expectation of rising interest rates means that bonds tend to underperform, and the analyst should reduce the portfolio’s bond allocation. 能不能解释一下这段话？equity表现好的时候为什么bond表现差