This website serves long term investors in a pursuit to find the right asset allocation.
The Gold Standard for
Long Term Investors
This website lists research on the Shiller PE
Find it's latest value here (multpl.com)
Or check this site for regional CAPEs (updated each 6m):
Investing is hard. It is easier with a long horizon.
WHY WE LIKE THE SHILLER PE?
Academic research shows the reliability of the level of the Shiller PE with future stock returns
The concept is easy to understand and straight forward
The Shiller PE ratio was developed by Robert "Bob" Shiller and popularized during the Dotcom Bubble in the late 90s when he argued that equities were highly overvalued.
The Shiller PE is a variant of the more popular price to earning ratio and is calculated by dividing the current price of a stock by its average inflation adjusted earning over the last 10 years. Check the interview below; go to 8m30s for his explanation on the Shiller PE.
But there is more to it. So read on!
“When it comes to building your investment portfolio, asset allocation is key. ”
— Yves Bonzon —
CIO of Julius Bär
Check out what David Rosenberg has to say about the Shiller PE in this interview. David Rosenberg is one of the best economists/strategists out there and known for forecasting the Global Financial Crisis.
David Rosenberg owns his own independent research company. Prior he was Chief Economist & Strategist at Gluskin Sheff and Chief North American Economist at Merrill Lynch.