MM"Stefanis are u sure there is such a strong cash transfer...

MM

"Stefanis are u sure there is such a strong cash transfer across into shares? I know interest rates are low, and falling, but am surprised to read that large amounts are entering into stks. I consider 14.5 a highish PE for normal-goodish times... but waay too high for the uncertainty in the world today. Risk of another GFC remains imo."

No i can't quantify it. The ATO does release data periodically on the breakdown of holdings in SMSF's which account for around 30% of Superannuation holdings.

At June 12 the breakdown between shares and cash deposits was even both comprising 30% of SMSF investments. It will be interesting to see if this breakdown has moved when they release the next data sets.

My comment was in relation to the market rising through investors chasing yields as returns in term accounts fall - This is subjective but I stand by my comment.

The market volatility is significantly less currently than it was early last year. Stocks are trading more stable and the annual return from stocks last year was positive. Both of these factors are also signs that money is steadily flowing into the market.