On this basis it could be argued that, at that time, since expected returns were well below historic norms, prices were too high.
Too much of a good thing can be wonderful
The top-performing 2.4% of firms account for all of the $US 75.7 trillion in net global stock market wealth creation from 1990 to December 2020
It is only by working at what you can’t do that you turn into the expert you want to become.
The investment principles around selling losers and holding winners are one of the most important and subtle topics in investing; laden with psychological pitfalls
This approach has worked
In sports, in war and in the battle for investment survival it is helpful to distinguish between strategy and tactics.
The sell side analyst’s target prices do not estimate fair value. DCF estimates do just that. Investors should not confuse the two.
Plan for the worst. Hope for the best. And don’t agonize.
Diversification is inadequate as a risk management technique and too primitive for the new environment of volatility and uncertainty.