I'm in a similar position and am skeptical that the current situation of stocks at record highs, debt at record highs, and the market valuation being about 60% above historical norms (using S&P 500 P/E ratio of 25 v. historical mean of 15) is sustainable. So, investing in stocks now would mean I believe in the thesis that the market has fundamentally changed and will continue forward with much higher valuations than in the past. Or, have faith in historical patterns and wait until it's more normally valued.
That said, I'm still working through what the best strategy is for non-stock investments that would be insulated from a 40% stock market drop, should it happen. Bonds are intriguing; but, in the face of a rising interest rate environment, bond prices would likely go down as well.
Who has suggestions?