Money and Finance
- Hussman Weekly Market Comment: The Delusion Of Perpetual Motion
Link to: The Delusion of Perpetual Motion“I am definitely concerned. When was [the cyclically adjusted P/E ratio or CAPE] higher than it is now? I can tell you: 1929, 2000 and 2007. Very low interest rates help to explain the high CAPE. That doesn’t...
- U.s. Stocks Look Pricey, But Bargains Beckon Overseas
Stocks are cheap—just not U.S. stocks. After climbing 5.2% in January, the Standard & Poor's 500-stock index is again nearing all-time highs, spurring many small investors to pile into U.S. stock funds. More than $36 billion flowed into U.S....
- Buttonwood: Back To The Shiller P/e
ONE key reason why I have been pessimistic about the outlook for the US stockmarket is based on the use of the Shiller price-earnings ratio. Ben Graham, the doyen of securities analysis, devised a version of this measure, but it has become associated...
- Value Matters: Predictability Of Stock Index Returns
Found via World Beta. Abstract:The aim of this paper is twofold: to provide a theoretical framework and to give further empirical support to Shiller's test of the appropriateness of prices in the stock market based on the Cyclically Adjusted Price...
- Robert Shiller On Housing (video)
Robert Shiller, a professor of economics at Yale University and co-creator of the Standard & Poor's/Case-Shiller Index, says the market has "a chance" of rebounding even though the downward momentum in the real estate market has accelerated in...
Money and Finance
Gundlach dips toe into uber-indexing
DoubleLine Capital LP plans to launch an enhanced index fund based on Yale University economics professor Robert Shiller's cyclically adjusted price-earnings ratio.
The DoubleLine Shiller Enhanced CAPE Fund will use derivatives — either swaps or futures contracts — to track the Shiller Barclays U.S. Sector Total Return Index, which invests equally in the four most undervalued U.S. stock sectors based on their CAPE ratio and their price momentum over the past 12 months.
- Hussman Weekly Market Comment: The Delusion Of Perpetual Motion
Link to: The Delusion of Perpetual Motion“I am definitely concerned. When was [the cyclically adjusted P/E ratio or CAPE] higher than it is now? I can tell you: 1929, 2000 and 2007. Very low interest rates help to explain the high CAPE. That doesn’t...
- U.s. Stocks Look Pricey, But Bargains Beckon Overseas
Stocks are cheap—just not U.S. stocks. After climbing 5.2% in January, the Standard & Poor's 500-stock index is again nearing all-time highs, spurring many small investors to pile into U.S. stock funds. More than $36 billion flowed into U.S....
- Buttonwood: Back To The Shiller P/e
ONE key reason why I have been pessimistic about the outlook for the US stockmarket is based on the use of the Shiller price-earnings ratio. Ben Graham, the doyen of securities analysis, devised a version of this measure, but it has become associated...
- Value Matters: Predictability Of Stock Index Returns
Found via World Beta. Abstract:The aim of this paper is twofold: to provide a theoretical framework and to give further empirical support to Shiller's test of the appropriateness of prices in the stock market based on the Cyclically Adjusted Price...
- Robert Shiller On Housing (video)
Robert Shiller, a professor of economics at Yale University and co-creator of the Standard & Poor's/Case-Shiller Index, says the market has "a chance" of rebounding even though the downward momentum in the real estate market has accelerated in...