The concept of how the really smart money invests is centered around the idea that markets are efficient and that active stock picking is not a reliable strategy for beating the market. Nobel Prize winners like Eugene Fama, Merton Miller, and Myron Scholes, among others, have contributed to this understanding and invest their own money …
By CARL RICHARDS OCT. 13, 2014 Last week was uncomfortable for market watchers. The Dow dropped more than 200 points one day and surged more than 200 the next. Both moves were attributed to small, seemingly random things. The International Monetary Fund cut its global forecast, and the Federal Reserve released its meeting minutes. I’ll …
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It had all the appearance of a market anomaly. For 25 years the world’s leading academics in the field kept predicting that Eugene Fama was certain to win the Nobel Prize in economics. If this year wasn’t Fama’s year, the talk always went, it would come soon. In an efficient market like the one Fama …
Read more “What can you learn from Mr. Efficient Markets now?”
Eugene Fama, Nobel Prize Laureate by Tyler Cowen on October 14, 2013 at 7:09 am in Economics | Permalink Fama has been long-deserving for some time now. He won basically for his empirical work on asset prices. Here is Fama on Wikipedia. Here is Fama on scholar.google.com. Fama teaches at the Booth School of Business at the University of Chicago and he is …