FYI: The CAPE ratio is a valuation measure that gets a lot of publicity from the financial media (mainly because of its namesake, Robert Shiller). There’s been a lot of ink spilled on how effective it is as a market metric. My stance is that it’s far from a perfect valuation measure but there are no perfect variables when dealing with the markets. With those caveats out of the way, here’s a recent piece I wrote for Bloomberg on current levels in this highly debated valuation ratio.
Regards,
Ted
http://awealthofcommonsense.com/2017/04/what-to-make-of-todays-twice-in-history-sp-500-valuations/
