Valuation – Distribution of S&P 500 P/E since 1935 On a P/E basis, the S&P 500 is not cheap. The S&P 500 P/E has been higher only about 10% of the time since 1935. Image: Deutsche Bank Asset Allocation
Super-Cycles – Commodities, Stocks, and Bonds The importance of asset allocation and diversification: commodities, stocks, and bonds do not necessarily moved together over the long term. Image: Wells Fargo Investment Institute
Correlation Matrix This grid shows the correlation between different asset classes. It is very useful for asset allocation. Image: Fidelity Investments
Global Equity vs. Bonds and U.S. Unemployment Rate and Recessions The chart shows that the U.S. business cycle drives global asset allocation and suggests a possible U.S. recession in 2020. Image: Pictet Asset Management
Money-Market Funds Flows Over the last 4 weeks, money-market funds have seen a significant inflow of nearly $95 billion. That’s much more larger than in previous years. Image: Deutsche Bank Asset Allocation