Stock market
Stock market
A stock market, equity market, or share market is the aggregation of buyers and sellers of stocks, which represent ownership claims on businesses; these may include securities listed on a public stock exchange as well as stock that is only traded privately, such as shares of private companies that are sold to investors through equity crowdfunding platforms. Investments are usually made with an inv
"The reality is that business and investment spending are the true leading indicators of the economy and the stock market. If you want to know where the stock market is headed, forget about consumer spending and retail sales figures. Look to business spending, price inflation, interest rates, and productivity gains."
"The business model of Wall Street is fraud. In my view, there is no better example than the recently-exposed illegal behavior at ."
"Throughout the 1980s, which was the second-best decade for stocks in modern history (only the 1950s were slightly more bountiful), the percentage of household assets invested in stocks declined! (p. 15) By sticking with stocks all the time, the odds are six to one in our favor that well do better than the people who stick with bonds. (p. 16) The key to making money in stocks is not to get scared out of them. This point cannot be overemphasized. Every year finds a spate of books on how to pick stocks or find the winning mutual fund. But all this good information is useless without the willpower. In dieting and stocks, it is the gut and not the head that determines the results. (p. 36) While catching up on the news is merely depressing to the citizen who has no stocks, it is a dangerous habit for the investor. (p. 40) A healthy portfolio requires a regular checkup—perhaps every six months or so. Even with the blue chips, the big names, the top companies in the Fortune 500, the buy-and-forget strategy can be unproductive and downright dangerous. ... Investors who bought and forgot IBM, Sears, and Eastman Kodak are sorry that they did. (p. 284)"
"Stock prices will always be far more volatile than cash-equivalent holdings. Over the long term, however, currency-denominated instruments are riskier investments – far riskier investments – than widely-diversified stock portfolios that are bought over time and that are owned in a manner invoking only token fees and commissions. That lesson has not customarily been taught in business schools, where volatility is almost universally used as a proxy for risk. Though this pedagogic assumption makes for easy teaching, it is dead wrong: Volatility is far from synonymous with risk. Popular formulas that equate the two terms lead students, investors and CEOs astray."
"The stock market is a no-called-strike game. You dont have to swing at everything — you can wait for your pitch. The problem when youre a money manager is that your fans keep yelling, "Swing, you bum!"
"Say the words market correction and many investors immediately think of a crash or a bear market, with the panic-inducing idea that they’ll be living on Ramen noodles through retirement. In reality, stock market corrections happen relatively frequently, and they aren’t nearly as bad as you might think.”"
"When asked what the stock market will do: It will fluctuate"
"Let us begin with a definition of economics. Over the last half-century, the study of economics has expanded to include a vast range of topics. Here are some of the major subjects that are covered in this book:"
"This is China and the Chinese stock promotion, manipulation fraud machine laughing in the face of the SEC."
"It can be argued that the U.S. brokerage and investment banking industry has transformed the modern American stock market into nothing more than a mechanism for transferring wealth from shareholders to management."
"The first question is, "What is the nature of the stock market?" And that gets you directly to this efficient market theory that got to be the rage — a total rage — long after I graduated from law school. And its rather interesting because one of the greatest economists of the world is a substantial shareholder in Berkshire Hathaway and has been for a long time. His textbook always taught that the stock market was perfectly efficient and that nobody could beat it. But his own money went into Berkshire and made him wealthy. So, like Pascal in his famous wager, he hedged his bet. Is the stock market so efficient that people cant beat it? Well, the efficient market theory is obviously roughly right — meaning that markets are quite efficient and its quite hard for anybody to beat the market by significant margins as a stock picker by just being intelligent and working in a disciplined way. Indeed, the average result has to be the average result. By definition, everybody cant beat the market. As I always say, the iron rule of life is that only 20% of the people can be in the top fifth. Thats just the way it is."
"It would be misleading to leave the reader with the impression that speculation and investment together exhaust the subject of security profits. Not all fortunes founded on stock-market operations are obtained by either skillful investment or adroit speculation, for other procedures of a less defensible sort, which fall outside the range of our discussion, are resorted to sometimes."
