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The stock market may be entering a “Golden Age of Investing,” strategist Mary Ann Bartels says.
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The discovery of AI breakthroughs, lower taxes, and financial incentives could drive major S&P 500 growth through 2030.
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Bartels predicts that the S&P 500 could reach 13,000 by the end of the decade.
The stock market may be entering a “Golden Age of Investing” that offers extraordinary returns for investors, said economist Mary Ann Bartels of Sanctuary Wealth.
In his 2025 outlook, Bartels explained why he believes the S&P 500 could more than double between now and the end of the decade.
“We believe this is driven by the gains from AI and a strong US economy, helped by maintaining low corporate taxes, low interest rates, and continued stimulus from the Biden Administration’s policies that allow companies to continue to post strong earnings growth,” Bartels said.
According to Bartels, there are uncanny parallels between today’s technological revolution in AI and the technological advances of the 1990s with the internet and even the 1920s with radio and automobiles.
That, combined with the Federal Reserve cutting interest rates, suggests that the stock market may follow a similar path to the 1990s or 1920s.
“If we are going to repeat this boom-bust cycle like the 1920s, 1950s, 1960s, 1980s and 1990s, we believe that we are in the early stages of a boom and that the equity market will not rise until 2029-2030,” Bartels said.
Bartels said he expects the S&P 500 to trade between 8,000 and 10,000 by 2030, but added that it could reach 13,000, representing a 118% upside from current levels.
“If we’re being honest, this would be the second Golden Age of investment in 50 years,” Bartels said.
In 2025, Sanctuary Wealth has an S&P 500 year-end price target of 7,200 to 7,400, which is, so far, the most bullish view on Wall Street and represents another 20% upside for the year for the stock following the strong returns seen in 2023. and 2024.
Supporting Bartels’ bullish view on the stock is the fact that the market value is nowhere near extreme, as measured by the 5-year Z-score on the P/E multiple, and that profits and earnings growth are rising.
“For 2025, we expect that wages will continue to increase, especially in companies related to technology, so we do not believe that the valuation will prevent prices from going up,” said Bartels.
According to Bartels, one factor that is driving the stock market forward is the continued construction of a “mountain of capital.”