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Re: Stock Market Valuations and Entry Point.......
Old 12-20-2004, 08:34 PM   #4
Thinks s/he gets paid by the post
 
Join Date: Mar 2004
Location: Dallas
Posts: 1,176
Well, stocks have value for me when they are the
only way I see to achieve my financial goal. Even
at today's P/E and low dividend yields, the Gordon
Equation predicts a long term return of about 7%
nominal per year. Long term bonds should return
about 5% over the long term at today's yield. With
my financial resources I can't get there from here
without a substantial commitment to equities.

Cheers,

Charlie

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