Quote Originally Posted by SBQ View Post
There is no disconnect. The reality is those with $ are sick with holding cash in the bank account. Low interest rates = only fools hold cash in the bank account for long periods of time... Investors are looking out for the longer term.
I can see several disconnects, not least forward PE & cancelled dividends v's present market valuation.

But I think what you're saying is that over the long term, shares beat those paltry interest rates hands down, so just close your eyes tight and we'll get through this eventually. Which is likely correct, although it may take a while.

However, if you choose to manage your investments a little more proactively, side-stepping an obvious drop might be a smart move in situations like this.

AIR.NZ is a good example here: many shareholders dropped them like a hot potato. Others wish they had. How long before those shares recover from the Covid transition?