Wes Moss Tells $5 Million Couple Avoiding Stocks: ‘You’re Caught in the Everything’s Overvalued Trap’

Anne from Pennsylvania wrote into the Clark Howard Podcast with a occupation that sounds similar prudence but functions similar paralysis. She and her husband, 64 and 74 respectively, clasp astir $5 cardinal successful savings with nary debt, and person been retired of the banal marketplace for years, keeping everything successful bonds and CDs. Her concern: "With the marketplace overvalued successful our sentiment and speech of an AI bubble, I'm disquieted astir investing now, but besides astir not keeping up with inflation."

Financial advisor Wes Moss, appearing connected the podcast, named the signifier directly: "You're caught successful the everything's overvalued trap." He is right. And the mathematics down wherefore helium is close is thing each near-retiree holding bonds and CDs should recognize earlier making different allocation decision.

Moss's halfway statement cuts done the sound quickly: "If we lone were invested successful markets erstwhile things were undervalued, we wouldn't beryllium invested each that often. So we'd miss an tremendous portion of that journey." This is simply a documented diagnostic of however equity returns are distributed.

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The S&P 500, tracked by SPDR S&P 500 ETF Trust (NYSEARCA:SPY), is down astir 4% year-to-date done April 1, 2026, aft a volatile March. But zoom out: the aforesaid scale is up 17% implicit the past twelvemonth and 217% implicit the past decade. Investors who exited successful 2022 citing overvaluation and AI bubble fears missed a important information of that decade-long compounding.