So you own bonds. You collected your term premium and credit premium from Chapter 2. Good. But can you do better than just holding them? Can you turn the dial up when bonds look attractive and dial it down when they don’t?
Chapter 11 is where Malkiel fights back. After spending the last chapter letting behavioral finance people take their best shots at the efficient market theory, he rolls up his sleeves and defends it. Researchers have been trying to kill this theory for decades. Malkiel says they keep missing.
Chapter 16 is basically the Warren Buffett chapter. Not that Harris mentions Buffett by name, but the whole idea of value trading is: figure out what something is really worth, wait for the market to misprice it, buy low, sell high. That is the entire philosophy in one sentence. The hard part is everything else.
Book: Beating the Street by Peter Lynch with John Rothchild | ISBN: 978-0-671-75915-5
When a government has a garage sale, Peter Lynch tries to attend. He doesn’t care if it’s Uncle Sam or the Queen of England. History shows that whenever the government sells something to the public, the buyers usually do well.
Book: Systematic Fixed Income: An Investor’s Guide Author: Scott A. Richardson, Ph.D. ISBN: 9781119900139 Publisher: John Wiley & Sons, 2022
Book: Systematic Fixed Income: An Investor’s Guide Author: Scott A. Richardson, Ph.D. ISBN: 9781119900139 Publisher: John Wiley & Sons, 2022
Book: Systematic Fixed Income: An Investor’s Guide Author: Scott A. Richardson, Ph.D. Publisher: John Wiley & Sons, 2022 ISBN: 9781119900139