According to an indicator known as the “Single Greatest Predictor of Future Stock Market Returns,” equities over the next decade will merely keep pace with inflation.
This indicator is based on the average investor allocation to equities. It was introduced in 2013, and given this auspicious name, by the anonymous author of the Philosophical Economics blog. The indicator’s creator reported that it had a better track record predicting the stock market’s 10-year return than any of the other valuation indicators of which he/she…
