In the short term I’m not sure where our current path leads us. However, in the long term stocks are currently cheap and should provide excellent returns. Investors should be regularly adding money to the stock market and increasing their exposure to shares. Most should be doing this via index funds.

Most financial pundits are saying we’re in uncharted waters. However, if you block out all the noise and concentrate on data I think you’ll see we have been here before and whether you directly experienced an earlier time or not doesn’t really matter. Stocks are now cheap and you should be buying in a measured way. The path may wind and dip, but eventually it will lead us to new highs in the market.

My best find on the web this week. Have you ever wanted a copy of Seth Klarman’s Margin of Safety? I know I have, but didn’t want to cough up the $1,000-$2,000 going price. Well here is a copy for free. This excellent compilation on Klarman contains a link to a full pdf version of the book.

Hussman’s commentary this week is worth reading for yourself, per usual. I may stop regularly linking it here as anyone who wants to read probably goes to his site. If any subscribers want me to keep linking it, then drop me a line.

Stocks are now measurably undervalued…Stocks are now at the same valuations that existed at the 1990 bear market low. JPH

Related posts:

1. Does Index Inclusion Lead to Higher Share Prices?
2. Investing vs Working plus a Simple Path to Wealth
3. Margin of Safety Seth Klarman