The S&P 500 valuation vs future returns chart is the brutal reality check everyone needs but few want to see. I watched a portfolio manager at a conference last year completely dodge this relationship when somone asked about entry points, kept pushing "time in the market" without acknowledging that starting valuations matter hugely for decade-level outcomes. The energy grid constraint angle on AI scaling is underappreciated too.
The S&P 500 valuation vs future returns chart is the brutal reality check everyone needs but few want to see. I watched a portfolio manager at a conference last year completely dodge this relationship when somone asked about entry points, kept pushing "time in the market" without acknowledging that starting valuations matter hugely for decade-level outcomes. The energy grid constraint angle on AI scaling is underappreciated too.
Hi Neural,
Absolutely, grid capacity,physical energy infrastructure, transmission bottlenecks... AI scaling isn't just about chips or models.