With high market valuations and an ever - lasting bull market, one might get scared to invest in equities (stocks) and stay on the sidelines.
Perhaps this is a consequence of the diesel emissions scandals or the
sky high market valuation attributed to US electric vehicle manufacturer Tesla.
The property of Google — the powerful search - engine company with an annual budget about the size of the old Soviet Union's and with a
decidedly higher market valuation — this project is further along than many of us realized, with 140,000 miles of testing on California roads so far.
Wells Fargo has
the highest market valuation among any bank in America, worth just north of $ 250 billion.
I did a hack recently using cFIREsim to account for
the high market valuations.
It would be worth a lot, and Google has probably exceeded that profitability estimate, thus
the high market valuation of Google.
High market valuations are one of the factors that precipitate crashes.
The MCTWI is designed to remove (or least reduce) the effects of
high market valuations.
AUM trends, or the stability of Argo Real Estate Opportunities Fund (AREO: LN), might present risk (s) to this valuation, but one could also speculate on a higher valuation based on share buybacks, rising AUM & margins, and
a higher market valuation multiple.