The market value of the S&P of $12.7T represents 83% of GDP, writes David Kotok. For...

|By:, SA News Editor

The market value of the S&P of $12.7T represents 83% of GDP, writes David Kotok. For comparison, it was 47% at the 2009 bottom, 98% at the 2007 top, and 129% at the epic 2000 top. The ratio can change, but its current fair valuation gives Kotok the confidence to stay with stocks, seeing 6-7% appreciation and another 2% in dividends over coming years.