EXPENSIVE EQUITIES

By just about any measure, US equity valuations are highly elevated. Dating back to 1900, the trailing P/E ratio is currently at its third highest reading ever. The Shiller CAPE ratio is at it second highest ever, and trend P/E is at its highest level ever. But wait, there’s more. The Price/Book ratio has never been higher, and the Dividend Yield has never been lower. Invest with this in mind.