Sunday, March 30, 2014

Shut up already! It’s not 1929 - Chuck Jaffe - MarketWatch

Shut up already! It’s not 1929 - Chuck Jaffe - MarketWatch: "As Benjamin Graham, the father of value investing, noted, the stock market in the short run is like a voting machine, registering which companies are popular or not popular; over the long haul, however, it’s a weighing machine, taking the full measure and assessment of the company in the form of its stock price.

“Long-term investors should think about the economy and the prospects of U.S. and foreign companies they invest in. They should not focus on the market,” said behavioral finance expert Terrance Odean, a professor at the Haas School of Business at the University of California-Berkeley. “In the long run, what matters if whether the economy prospers and firms earn profits."



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