I'm not trying to scare you, but there's a stock market warning signal going off right now that we haven't seen since 1999.

I'm not trying to scare you, but there's a stock market warning signal going off right now that we haven't seen since 1999, right before one of the biggest market crashes in history. I'm going to tell you what's going on and how you can protect your investments. The warning signal going off is called the CAPE ratio. I don't want to get too deep into it and confuse you, but it basically tells you if stocks are overpriced compared to company earnings over the last 10 years. Right now, the CAPE ratio is sitting around 40. It normally averages less than 20. The only other time the CAPE ratio has been this high was right before the dot-com bubble burst when the market lost nearly half of its value. The takeaway so far is that stocks are overpriced and something needs to give. The reason I'm telling you all this is because it affects a really common investment, the S&P 500 index. If you don't know what that is, it's an index of the top 500 largest companies in the United States. The top 10 companies in the S&P 500 make up about 40% of the entire index, and most of them are tech companies, which means it's pretty much just a tech index, which means it has concentration risk, which means your investment is not as safe if a crash does happen. I'm going to tell you what you can do. Do not sell everything. Pulling out of the S&P 500 is rarely the correct decision. So don't sell everything, but you do need to make sure your money is not all in one place. Think investing in international funds, bonds, maybe even REITs, real estate investment trusts. And for the money you don't want to risk at all right now, a high yield savings account is always a good place to park it. If you need a recommendation for a good one, there's one in my bio. No need to panic, just be aware and be smart, okay? I'm Taylor, I got a finance degree so you don't have to, and my goal is to help you with your personal finances. Leave a comment to stay on finance TikTok, and don't forget to follow me because you can't afford to miss what I talk about.