Introduction It's a slow Thanksgiving Friday, and I decided I would rather be writing to you than shopping in the malls. In fact, I would pay good money not to go to the malls today. Which my kids think I am because they pointed out on Thanksgiving the amazing values I am missing, particularly on...
Introduction In my Friday letter, Thoughts from the Frontline (you can view it here ), we looked at how valuation and prices change over market cycles. As I mentioned and have written about extensively in my book Bull's Eye Investing, market cycles should be viewed in terms of valuation and not prices...
Introduction "Our analysis leads us to believe that recovery is only sound if it does come from itself. For any revival which is merely due to artificial stimulus leaves part of the work of depression undone and adds, to an undigested remnant of maladjustments, new maladjustments of its own."...
Introduction What do Nobel Prize winners in economics know about investments that you don't know? You would think a lot. You would also think their investment portfolios would greatly outperform those of the average investor, wouldn't you? As it turns out, not necessarily. A recent article from...
Introduction The recent sharp drop in stock prices reminds us that there are always risks in the investment markets. This week, I will discuss some of the obvious risks in stock market investing, but also several types of risk that many investors never think about. So read this one carefully. This is...
Introduction The US economy continues to grow at a healthy pace, despite non-stop warnings by the gloom-and-doom crowd to the contrary. Yet the major stock market indices have been in a generally sideways trading range for over a year now. Over the last couple of months, it seems that the talking heads...
Introduction When it comes to investing, we now live in a time of information overload, what with numerous financial channels on TV, endless investment advice on the Internet and hundreds of newsletters and other publications related to the markets and where to put your money. All of these services focus...
Introduction What makes one person a pessimist and another an optimist when speculating about the future of the US and the markets? How do we come to our most basic assumptions? This week we look at some insights into human nature I picked up in Tahoe at George Gilder's Telecosm, as optimistic a...