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Dimon says stock valuations are too high, points investors to ETFs
The piece highlights the Vanguard Total Stock Market ETF for long term investors, citing holdings across 3,531 US stocks and a 0.03% expense ratio.
JPMorgan Chase CEO Jamie Dimon has questioned whether current stock valuations are too high, according to a Yahoo Finance write up that draws on a CNBC podcast interview. The article frames Dimon’s stance as an opinion on the stock market’s price levels rather than a reason for individual investors to stop investing altogether.
It argues that market timing is hard, even for bank executives, and presents three exchange traded funds as potential options for long term investors. One focus is the Vanguard Total Stock Market ETF, which the article says holds 3,531 US stocks across large, mid, and small caps and charges an expense ratio of 0.03%.
The article also cites the fund’s long run performance, saying it has delivered average annual returns of 9.48% since its May 2001 inception. It adds that annualized returns were 15.04% over the past 10 years and 12.24% over the past five years.
The write up notes the fund’s sector tilt, saying its technology weighting is 41%, with industrials at 12.5% and consumer discretionary at 12.3%. It also says the ETF’s top-10 holdings are major technology names and that the fund adjusts holdings as stocks gain or fall.