Based on a multi-year comparison of the price-earnings (PE) ratios of the S&P 500 Index and the forward real returns, investors should be aware of the fact that the stock market is by historical standards not in cheap territory, arguing for luke-warm long-term returns. As a matter of fact, there is a distinct possibility of some negative returns.

Read all about the expected returns for US stock markets in Prieur du Plessis's latest blog post.
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