Jeremy Siegel
Jeremy Siegel
Jeremy James Siegelis the Russell E. Palmer Professor of Finance at the Wharton School of the University of Pennsylvania in Philadelphia, Pennsylvania. Siegel comments extensively on the economy and financial markets: he appears regularly on networks such CNN, CNBC and NPR, and writes regular columns for Kiplinger's Personal Finance and Yahoo! Finance. Siegel's paradox is named after him...
past games play
It can be shown that maximum diversification is achieved by holding each stock in proportion to its value to the entire market (italics added)... Hindsight plays tricks on our minds... often distorts the past and encourages us to play hunches and outguess other investors, who in turn are playing the same game. For most of us, trying to beat the market leads to disastrous results... our actions lead to much lower returns than can be achieved by just staying in the market.
play mind hindsight
Hindsight plays tricks on our minds.
sweet real moving
The good thing about the dividend-paying stocks is, first of all you have stocks, which are real assets if we have some inflation. I think we're going to have 2%, 3% maybe 4%. That's a sweet spot for stocks. Corporations do well with that. It gives them pricing power. Their assets move up with prices. I'm not fearful of that inflation.
investing safe information
The current financial crisis calls out for new products and services as well as more, not less, information about what is safe and profitable in the future environment.
years half portfolios
You have never lost money in stocks over any 20-year period, but you have wiped out half your portfolio in bonds (after inflation). So which is the riskier asset?
historical investing weight
Fear has a far greater grasp on human action than the impressive weight of historical evidence.
evidence market minor miss optimistic people putting shred taking worried
The market is taking any minor shred of optimistic evidence and putting it into the price. People are worried that they are going to miss out on the bottom.
aside clear cycle fed gone nine path seen until
If he is smart, he would put this aside completely until the cycle of Fed tightening is over and a clear path can be seen ahead. The Fed has gone 90 years without it. It can go another nine months.