This 30-year market veteran is alarmed by a record-chasing S&P 500. Here’s where he’s investing instead.

A 30-year market veteran is raising concerns about what he sees as irrational record-chasing in the S&P 500, arguing that investors may be overlooking a safer alternative. Steven Jon Kaplan's caution fits a familiar pattern: when major indexes repeatedly set records, valuations stretch and the margin for error narrows. Long-term market participants often flag such moments not as predictions of an imminent decline, but as reminders that price momentum and underlying value are not the same thing.

The details of where Kaplan is investing instead, and the specific "safe" option he favors, are not established in the summary provided, so those claims should be treated with caution until verified. What matters for readers is the broader principle: concentration in a single index at elevated levels carries risk that is easy to underestimate during a strong run.

What to watch: whether earnings growth actually justifies current valuations, how concentrated gains remain among a handful of large companies, and whether defensive or income-oriented allocations regain appeal if volatility returns.