"But what else is there? Holding cash is terrible ..." Holding cash might be terrible. Certainly the returns are and it makes sense that (the entire world) wo

"But what else is there? Holding cash is terrible ..." Holding cash might be terrible. Certainly the returns are and it makes sense that (the entire world) would be chasing higher yields elsewhere. However, if those assets take a 50% haircut at some point in the near future, holding cash will have looked like a fantastic idea. Given the current Schiller P/E of 26 (!) that was mentioned elsewhere in this discussion, a 50% haircut in US equities is not at all outlandish to consider.