Investors Seem To Not Care About Valuations
by Gregory Schaffer on Aug 22, 2017
According to widely used valuation metrics, the current stock market is more overvalued now than during most of the bull markets since 1900. However investors continue to maintain high exposures of risk to this very long bull market. 46% of money managers say the market is overvalued, yet the percentage who say they are overweight equities has remained unchanged. Weaker earnings in my opinion will be a catalyst to start the Bear market.
Point is this: Do you know what type of risk you are taking in your 401K and other investments? Do not be a reckless investor and seek good counsel when things go beyond your own understanding. This Bull market will ultimately turn and the longer it goes the higher the probability it will turn down.
Give us a call today if you think some help is required to analyze the risk you are taking. This is something that should not be part of procrastination.
Have a blessed day!