The Market's Average Valuation Has Sliding Permanently Higher

The key is that market valuation is poorly cor ated with short term returns and highly correlated with long term ones. Bond yields have rarely been lower, so there's a good chance that even if stocks don't do as well as usual of the next decade, theye'll still be bonds. If you own an s m p five red fund in late two thousand seven, you had lost half your investment by early two thousand nine,. But you've also more than doubled your investment, nearly tripled it, really, if you've held on until now. So i'm wondering, jack, if you were in my shoes, what would you do? Bonds don't seem like such a safe bed