Episode 83 - Super heroes wear a CAPE

Have you ever heard of the Cyclically-Adjusted Price Earnings (CAPE) Ratio? Have you ever heard of the Shiller PE ratio? If you haven’t then you are not alone. If you are an investor, knowing this ratio and its current value could at least add a data point to your understanding of the US Equity market. If you are a retiree or soon to be retired, then knowing this ratio might just save your bacon.

In this episode JJ discusses:

• What is the CAPE Ratio

• What does it try to tell us

• Why should we care, especially if we are retired

References for this episode include:

https://earlyretirementnow.com/2022/10/05/building-a-better-cape-ratio/

https://www.multpl.com/shiller-pe