[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?
- Singapore Savings Bonds SSB January 2024 Yield Plunges to 3.07% (SBJAN24 GX24010F) - December 1, 2023
- New 6-Month Singapore T-Bill Yield in Early-December 2023 Should be Slightly Higher at 3.85% (for the Singaporean Savers) - November 30, 2023
- Have the World or Emerging Market Healthcare Stocks Outperform the World and EM Index? - November 26, 2023