DragonBank t1_j2varsm wrote on January 4, 2023 at 4:38 AM

Reply to comment by mgsloan in 2022 Asset Return [OC] by rosetechnology

But even then the others aren't labeled with exchange rates in mind so it makes no sense. If I take a dollar and put it in equities I lose 25 pct. If I take a dollar and put it in dollars I have the same investment I started with. If I take a foreign currency and invest in a dollar I may make a gain, but if I take a foreign currency and invest it in us bonds or us assets I lose an amount that isn't the number pictured here.

mgsloan t1_j2vex3s wrote on January 4, 2023 at 5:15 AM

Yup, but we can reasonably assume the others are based on USD valuations.

I did realize I got the "flip upside down" wrong, it would be the reciprocal instead, which for low percentages is nearly identical (1 / 1.1 = 0.909) whereas flip vertically gives (1 - (1.1 - 1) = 0.9)