# U.S. Equity Preference

Source: https://josephnoko.com/u-s-equity-preference/

The chart below is a live, interactive version of the Equity Preference chart I first discussed in my piece, [“Competition, Equity Preference and the Decade Ahead for the S&P 500”](https://josephnoko.com/competition-equity-preference-and-the-decade-ahead-for-the-sp-500/). It shows the proportion of the U.S. aggregate investor portfolio allocated to equities using data from the Federal Reserve[^1]. As discussed in my piece, the higher the equity preference, the lower the subsequent 10-year equity returns. In other words, the greater the demand for future equity returns, the lower the supply of those returns.

[Embedded content](https://fred.stlouisfed.org/graph/graph-landing.php?g=1BFOt&width=670&height=475)

## Notes

[^1]: data from the Federal Reserve. [fred.stlouisfed.org](https://fred.stlouisfed.org/graph/?g=1BqXi)