This page considers different valuation measures for the ASX 200. The chart shows the long-run forward price-to-earnings ratio, where an investor can judge if it is above or below average valuation. The table shows various other metrics to value an equity market by the price-to-book, price-to-cash flow or the spread between earnings yield and corporate bonds. Using a range of valuation metrics gives a better indication or the relative and absolute valuation of the equity market.