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Small-Scale Question Sunday for March 23, 2025

Do you have a dumb question that you're kind of embarrassed to ask in the main thread? Is there something you're just not sure about?

This is your opportunity to ask questions. No question too simple or too silly.

Culture war topics are accepted, and proposals for a better intro post are appreciated.

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So the word is that the S&P500 is going to return pretty low returns for the next 15-20 years due to excessive P/E ratios that’d show there isn’t enough earning being done to justify the valuations. People are saying expect annual returns of 4 percent or so. Can this really be true? I’m the kind of guy who just wants to invest in a simple ETF and forget about it. Until now I’ve chosen the SP500 for that, now wondering if I should be doing some rebalancing, but don’t want to sell during a downswing.

Seems like so much hinges on AI takeoff. Makes me nervous because so far there has not been any productivity gains. I know it’s still early though.