Happy 2026, everyone! If you’ve been watching the news and charts lately, you’ll notice that global equities are hitting All-Time Highs (ATH). Even our local Straits Times Index (STI) has been on a record-breaking run, recently breaching the 4,800 mark. When markets are this "hot," it’s natural to feel a mix of excitement and "FOMO" (Fear Of Missing Out). But for someone who have been through times like this before (E.g 1997/98, dot com, GFC, etc), I like to look at the numbers before jumping in. The Reality Check: PE Ratio & Standard Deviation To understand if we are overpaying, I look at two "health markers": Price-to-Earnings (PE) Ratio: Currently, the STI is trading at a forward PE of around 16x. Historically, our market is "cheap" when it’s below 12x and "fair" at 14x. While we aren't at the crazy levels of the dot-com era, we are certainly no longer in the "bargain bin." We are paying a premium for expected earnings growth...