Stocks Could Be Cheap Based on This One Measure

At the beginning of the year, this one measure of stock valuation was at a 16-year high. Now, it’s fallen back to where it was more than four years ago. This is one reason why economists recently upgraded their forecasts. Listen to Ric Edelman to hear the other reason economists are feeling better about the economy.

Investing strategies, such as asset allocation, diversification, or rebalancing, do not assure or guarantee better performance and cannot eliminate the risk of investment losses. There are no guarantees that a portfolio employing these or any other strategy will outperform a portfolio that does not engage in such strategies. Funds and ETFs are subject to risk, including loss of principal. All investments have inherent risks. There can be no assurance that the investment strategy proposed will obtain its goal. Past performance does not guarantee future results.

An index is a portfolio of specific securities (common examples are the S&P, DJIA, NASDAQ), the performance of which is often used as a benchmark in judging the relative performance of certain asset classes. Indexes are unmanaged portfolios and investors cannot invest directly in an index. Past performance does not guarantee future results.

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