Ghost of Igloi wrote:
Oh, but that is the way overvalued markets work. Same delusion as in past. Hey, hope it works out for you.
I think the point is, with markets trading at higher these valuations, some find reason to avoid market exposure and even not participate at all, precisely becuase they are uncomfortable with the very real possibility that a correction like ones the markets have known in other decades, take as much as 7 or so years to return to former highs. That is understood, and certainly anyone that cannot handle some downturns, corrections, and fluctuations should consider their risk tolerance and investment horizon before participating in the market.
But I also think the point is being made that choosing to minimize the risk and forego participation has been apparently done to one's own detriment. Simply put, one who sat out the last 10 or 20 years just missed out on one of the greatest bull runs of all time.
The rear view mirror is clear. What that and our current levels portend for the next few years is anyone's guess.