Hurdle rate rises to nearly 10 percent for investors, Mark Moss argues

Hurdle rate rises to nearly 10 percent for investors, Mark Moss argues
Monetary debasement impacts hurdle rates

Mark Moss questions the traditional use of CPI as a benchmark for investment hurdle rates, highlighting the impact of monetary debasement instead.

He suggests that the base hurdle rate should exceed 7.7 percent, but factoring in risk and costs, a more realistic rate approaches 10 percent. Moss points to the SP500 and U.S. median home prices as practical proxies for this debasement, while noting that assets like Bitcoin and Nasdaq have served as notable exceptions.

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