Stock markets continue their upward climb with a brief pause as we head into the New Year. Looking for a suitable long-term investment has become a real challenge with the high P/E ratios of most stocks that I have reviewed. AI has become the theme that drives stock prices, with most “traditional’ investments of little interest to investors. At the same time, I find that most of these companies face economic headwinds and their shares have underperformed the markets. I’m not sure if the idea of “value” has been completely jettisoned for growth.
In this environment, those with a time frame of less than ten years have limited options other than buying the index in my opinion.