A summary of our latest market valuation is shown below. This is an objective, 5 factor model we use to view market valuation. It is not a trading tool, but does let us look at the market through an objective lens that does not change irrespective of what the market is currently doing. Historically, our model has shown a good correlation (-0.6) between low valuation/high following return and vice versa.
As of 31 August our valuation model is significantly cheaper, dropping from 0.90 SD above fair value as of 31 July to 0.66 SD
If you would like to see the full document or want a detailed explanation of how we build and use this model please drop us a line.