Barclays Capital recently published its annual Equity Gilt Study. The paper includes data for asset returns in the United Kingdom back to 1899 and in the United States since 1925.

In the February 12, 2010 edition of the Financial Times, columnist John Authers wrote a summary of Barclays’ conclusions. In Authers’ words: “Barclays chose to look at how the bubbles of the past 10 years developed. Economic factors do not much help…. Rather, these bubbles were driven by shifts in the demand for equities and other assets – and these, in turn, were driven by demographics.” Barclays misses the elephant trumpeting in the middle of the room. It is no wonder the People are still dazed by the world’s financial meltdown.