Quote for the Week
The only thing certain on the fortieth anniversary of the 1929 debacle is that some day, without fail, there will be another such disaster.
The reason is that the stock market is inherently unstable, the instability being related to its superbly orchestrated ability to attract people with a promise of effortless riches, give them a taste of such gains, give them the promise of a great deal more gain, persuade them that it is rewarding their financial acuity or that of the people who are managing their money, and then, usually, after overcoming some preliminary setbacks, which greatly adds to the general state of confidence, destroy these illusions in one mortal thud. What is necessary for a new disaster is only for the memories of the last one to fade and no one knows how long that takes. — John Kenneth Galbraith (source)
From the Archives
Last Call
- What Do You Believe About Investing? – Behavioural Investment
- Why Portfolio Diversification Has Paid Off but More Isn’t Always Better – Morningstar
- Why Most Stocks Fail (And What That Means for Your Portfolio) – Behind the Balance Sheet
- Are Active Stock Funds Lagging Because…They’re Funds? – J. Ptak
- Collective Delusions: British Railway Mania of the 1840s – Periscope
- How (And When) To Learn from Crowds – Clearer Thinking
- Your Odds Are Not the Average – Polymath Investor
- Catastrophe Markets – Aeon
- The Importance of Farting Around – The Leap
- Smithsonian Secrets Most Likely to Blow Your Mind – ScienceNews