Don't Buy SPY

2025-01-08 10:00:00 ET

Summary

• The S&P 500's forward P/E ratio suggests a 0% return over the next decade; consider selling it for better alternatives.
• Explore cheaper country markets like Russia, offering higher prospective returns, via funds like The Central and Eastern Europe Fund and JPMorgan Emerging Europe.
• Consider “cash with a kicker” opportunities, such as SPAC IPOs, for better yield and potential deals.
• Direct indexing offers tax advantages and flexibility, now accessible to retail investors, making it a superior option to traditional S&P 500 ETFs.

Disclaimer / Disclosure

The S&P 500 Index (SP500) has returned over 600% since the beginning of this century. I have owned this index the whole time and intend to own it for as much of the remainder of this century as I live. However, as of today: don’t buy SPDR® S&P 500 ETF Trust ( SPY ). There are several superior alternatives to consider. Other than tax considerations that impact everyone differently, if you already own it, then sell it. Here’s why....

Read the full article on Seeking Alpha

For further details see: