Not all P/E expansions are alike

The dramatic risk rally since March has driven a sharp expansion in global forward P/E multiples, which sit at some of the highest levels in a decade. But a closer examination into the underpinnings of these valuation shifts reveals stark divergences across markets and sectors, raising important considerations for portfolio allocations.

At 22.7×, the Russell 1000 multiple remains roughly even with its 15-year high and retains a huge premium to its global peers, which ranged from around 14× for the FTSE UK to just above 17× for the FTSE Japan.

Read the full blog post now at the link below