Testing the Claim
On my desk is "Yes, It's a Bubble. So What?," by Research Affiliates. Being a fellow practitioner of the dark art of clickbait, I will not criticize the title. Whatever works. But I do confess, whenever I see the word "bubble," my instant response is "Says who?"
Consider the Research Affiliates paper's opening: "U.S. stock market valuations now exceed all historical valuation levels, except for those hit at the peak of the dot-com craze. This raises an obvious question for investors: Today, in early 2018, and has been the case over the last year, is the U.S. stock market in another bubble?" The authors' immediate answer is "Yes."
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John Rekenthaler does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.