Re: Another book question
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Active stock picking for long term investing is a losers game for an individual, end of discussion.
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There rewards of the market are available to those willing to invest the time! Don't belive everything you read, there are successful long term investors picking individual stocks.
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Sell-side wall street has you brainwashed.
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Sounds like someones brainwashed you!!!
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Sniper you are one of my favorite posters - I try to read everything you write.
You are wrong about this. I'm sure there are those that do well day to day exploiting behavioral finance type ineffeciencies in the market - you may be one of them.
We are talking about long term investing and asset allocation.
Its a losers game.
Sure its fun in our ownership society, but there are volumes of work done by guys a lot smarter than me that convincingly argue asset allocation and indexing over individual stock picking and active management.
Take the time to check out The Effecient Frontier or Swensen's latest book (he run's Yale's endowment fund). A book by Swedroe called The Only Investment Guide You'll Ever Need makes one of the strongest cases against active picking I've read.
The evidence is overwhelming. The first 1/3rd of his book is filled with examples, academic studies, etc on why active stock picking is -EV.
Active stock picking is -EV unless you have superior information no one else has. I think the only exception is short term traders that take advantage of short-term behavioral idiocy by lame active stock pickers like we are discussing here.
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