[Source | Research Affiliates]
Remember that CAPE uses an average of last 10 years earnings, so it tends to smooth out 1 year very good earnings. It is also inflation adjusted.
The contrarian thought is that the hated emerging markets is where the value is.
Some other thoughts are, earnings should be forward looking, and what if the low interest environment means a challenging emerging markets operating environment?
Would the next 10 years E be different?
Latest posts by Kyith (see all)
- Do You Have a Strong Insurance Protection Foundation? A FREE Havend E-book to Help Singaporeans(Plus Webinar Tonight) - March 28, 2024
- When Does High Quality and Low Quality Companies Perform Well? - March 27, 2024
- A Potential Rule of Thumb to Estimate CPF LIFE Standard Income with Our 65-Year-Old CPF RA Capital. - March 24, 2024