When someone with the standing of Jeremy Grantham warns about a bubble building up in the market, it is hard to ignore the warning. The 82-year old co-founder of Grantham, Mayo, & van Otterloo (GMO) has managed to correctly call three bubbles-- Japan's asset-price bubble in 1989, the dot-com bubble in 2000, and the housing crisis in 2008--in the 50 plus years he has spent tracking financial and commodities markets. And Grantham is not the only one worried that equity valuations are out of whack with reality.
Watch the accompanying video of CNBC-TV18’s Prashant Nair for more details.