Overview
- The S&P 500’s CAPE ratio is reported at 40.9, a level last approached during the 1999–2000 dot-com era.
- Over the past 10 years the index returned about 16% annualized, well above the roughly 10% long-run average cited in the report.
- Research referenced in the coverage suggests the next decade’s annualized returns could be low or even negative, though the sources are not specified.
- The article argues long-horizon investors may still benefit from staying invested despite elevated valuations and likely lower forward returns.
- The piece mixes valuation commentary with promotional content from The Motley Fool’s Stock Advisor service.