Cf. Barry Ritholtz’s handy summary of the performance of the equity markets in 2011. Volatility helps traders; it doesn’t do a great service to the economy at large.
I thought that one of the benefits of the equities markets was that they produced greater stability. Whatever happened to that?
Like the friend I’ve brought up before, I see more and more casual investors who play in hopes of making a quick buck from the Greater Fool Theory rather than strategizing for the long return. This has been a growing trend for the last decade or two and gives real traders (who know far more about the system) opportunities to benefit at the expense of the greedy and largely ignorant common man.
“I thought that one of the benefits of the equities markets was that they produced greater stability.”
Say what?