EXUBERANT EQUITIES

During the Tech craze peak, the equity share of household assets was almost 32%. Today it’s 34%. Similarly, the equity share of household financial assets has risen from a peak of 45% during the dotcom boom to 50% today. Moreover, the median household now has a staggering $140,000 of equity holdings. When the next bear market comes, and they always do, the pain will be widespread and deep.