Guest Blogger, Marlena Lee, PhD. While it’s not the intended victim of the YOLO traders, will the efficient market hypothesis be a casualty of these events? The answer depends a lot on your definition of efficient markets.
Imagine that you fell asleep at the beginning of the year and woke up at the end of 2020. When you wake up, there are some things that would immediately feel different.
If an investor could discover the true worth of a company, a piece of real estate or even an idea, where “true worth” equated to the future value or price that others would pay, success would be almost certain to follow. Those opportunities that were priced significantly lower than the future value would be automatic buys. The one’s with higher prices today than the future price would be ones to avoid. If only it were that simple!
When the going is good, we’re not all that concerned with asking or answering the question. It is when the going gets tough, like right now, that we find ourselves more interested in asking. So, “What should we do?”
"Everything good in life is just the gap between expectations and reality." - Morgan Housel. This week, Kent Kramer shares his thoughts on market history and setting expectations.
As we head into 2023, the question we get most often is, "What's next for markets and what can we expect in our portfolios?" This week, Kent Kramer and Ryne Oller try to answer just that.
On March 23, 2020, the S&P 500 tumbled another 3%, culminating a near 34% drop over that same month. The Dow Jones hovered around 19,000. Gains from the past few years were gone.
Guest Blogger, Marlena Lee, PhD. While it’s not the intended victim of the YOLO traders, will the efficient market hypothesis be a casualty of these events? The answer depends a lot on your definition of efficient markets.
Imagine that you fell asleep at the beginning of the year and woke up at the end of 2020. When you wake up, there are some things that would immediately feel different.
If an investor could discover the true worth of a company, a piece of real estate or even an idea, where “true worth” equated to the future value or price that others would pay, success would be almost certain to follow. Those opportunities that were priced significantly lower than the future value would be automatic buys. The one’s with higher prices today than the future price would be ones to avoid. If only it were that simple!
When the going is good, we’re not all that concerned with asking or answering the question. It is when the going gets tough, like right now, that we find ourselves more interested in asking. So, “What should we do?”
"Everything good in life is just the gap between expectations and reality." - Morgan Housel. This week, Kent Kramer shares his thoughts on market history and setting expectations.
As we head into 2023, the question we get most often is, "What's next for markets and what can we expect in our portfolios?" This week, Kent Kramer and Ryne Oller try to answer just that.
On March 23, 2020, the S&P 500 tumbled another 3%, culminating a near 34% drop over that same month. The Dow Jones hovered around 19,000. Gains from the past few years were gone.
Does war in Israel mean a big market meltdown? It’s hard to escape the war news. One way to think about the future is by looking at the past for similar circumstances.
Risks can often feel much different to retirees. The overarching risk for retirees is that something takes place that results in a permanently lower standard of living. Retirement researcher, Wade Pfau, has identified three major categories of risk for one’s income in retirement.
