I guess I get to be the contrarian. And with that goes the caveat: don’t do what I do because I’m an obvious fool, sucker, dummy, and rube. And what’s the source of my problem? You see, I just don’t understand this advanced investment calculus that says that the Shiller PE ratio is twice it’s historic median and I’m going to somehow come out a winner if I invest in equities right now. I don’t have the stomach for an investment that I can’t parse logically.
This is a very bubbly environment and even if cash and other investments available return me “only” 3-6%, I can live with that relatively small gain a lot easier than say a 20% drop during the same time. Sometimes sitting on the sidelines really is more rational. But again I caution you to not do what I do.