SWEDROE is a very strong advocate of always investing in the market, while he likes index funds he wants you to pay him 1% to manage your index funds while criticizing managed funds as not worthy. Now to his main argument - The Federal Reserve and the SEC and the excellent work they do have restricted large volatility resulting in a 25% increase in the value of the stock market because company earnings are now more sure. Now this is stated as we have the largest drop to start a year in the history of the stock market - ever. 8 of the largest single day percentage drops, including the largest ever have happened in the last 30 years.
His argument is also that real growth in the economy is much more assured and as such we should have an increased PE ratio for that, yet this recovery is the slowest growth in GDP in history, shouldn't slower real growth mean a lower PE not higher PE. In 2007 GDP was 15 Trillion 8 years later it is 16.4 Trillion a nine percent gain. In 1929 GDP was 1 trillion 8 years later it was 5 percent higher at 1.11 trillion. The truth is our economy is recovering no better than it did during the greatest depression of all time. Commodities are in an all time slide in price, none of what he is saying makes any sense but sounds good and believable. It is what a manager says to keep his client herd in the pen.