If you are not making any mistakes, you are being excessively risk-averse. Investing involves risk, and that means you will occasionally be wrong. And although it is okay to be wrong, it is not okay to stay wrong. Barry Ritholtz averseexcessivelyinvest share on social
Indeed, eventually, random outcomes all revert to the mean, meaning that streaks eventually end. Understanding this is a key part of intelligent and rational investing. Barry Ritholtz endeventuallyintelligent Change image and share on social
A number of bloggers in economics and the financial sector have risen to prominence through the sheer strength of their work. Note it was not their family connections nor ties to Ivy League schools or elite banks, but rather the strength of their research, analysis and writing. Barry Ritholtz analysisbankblogger share on social
Most of the time, economic data is fairly benign. I don't wish to imply it is meaningless, but it is not a driver of stock markets. Indeed, the correlation between economic noise and how equity markets perform has been wildly overemphasized. Barry Ritholtz benigncorrelationdatum share on social
The data strongly suggest that very good years in the U.S. stock market are followed by more good years. Barry Ritholtz datumgoodmarket Change image and share on social
A hedge fund manager whose clients demand monthly performance reports has different needs than any individual investors with a 20-year time horizon. The needs of that long-term investor differ markedly from someone who is retiring in three years. Barry Ritholtz clientdemanddiffer share on social
Often, investors will discover a manager after he's had a terrific run, usually when he lands on a magazine cover somewhere. Invariably, funds swell up with new investor money just before they revert to their long-term averages. Barry Ritholtz averagecoverdiscover share on social
Once you research an idea, you begin to develop a perspective. Writing about anything in public, often in real time, has helped fashion my views. Barry Ritholtz begindevelopfashion Change image and share on social
TV producers want ratings and are willing to do nearly anything to get them. They gin up artificial conflicts and create an urgency for even the most minor of economic data points. Barry Ritholtz artificialconflictcreate Change image and share on social
Active management leads to lots of poor investor behavior. It sends people chasing after whoever has the hot hand at the moment. Barry Ritholtz activebehaviorchase Change image and share on social