Scott Cederburg Featured in The Wall Street Journal for Retirement Investing Study

Scott Cederburg, associate professor of finance in the Eller College of Management, was recently featured in The Wall Street Journal for his research on how people around the world save and invest for retirement.

The article, “Should You Just Buy Stocks Until You Die?”, highlights new research by Cederburg and his colleagues Aizhan Anarkulova of Emory University and Michael O’Doherty of the University of Missouri. The team analyzed more than a century of investment data from 39 countries to understand how stocks and bonds have performed over time.

Traditionally, many people are advised to shift more of their savings into bonds as they approach retirement, since bonds are often viewed as safer. But Cederburg’s research found that, over the long term, bonds haven’t always provided the protection or returns investors expect. In fact, bonds often move in the same direction as stocks and tend to grow much more slowly.

While the research suggests that holding more stocks might lead to higher long-term returns, Cederburg emphasizes that this strategy also comes with greater risk—especially when markets are unpredictable.

“With valuations where they are, this may just be a tougher investment environment for current retirement savers,” Cederburg said. “We’re not trying to pretend that putting all your retirement money into stocks isn’t risky. It’s an incredibly risky proposition.”