Political commentary with scholarly references, misanthropy, obscure references and pretentious music
Friday, June 24, 2016
On stocks today...
I have a lot of interests. Politics, music, sci-fi, heck, even fancy pocket knives. Among my more serious interests: investment. Markets are panicking. Don't panic. The ironic thing you learn when you study the market is that you shouldn't do anything in circumstances like this, or really any circumstance. That's right. The smartest investment strategy is to ignore market movement. Period. The markets have already gone down. Don't sell after they go down. What does Warren Buffett say you should do? Put your money in a passively managed S&P index fund and leave it there. Only those with inside information have any business trading stocks. In other words, unless you are risking a prison term, don't trade. Just invest.
If you have a time machine, then go back in time, and sell your stocks yesterday afternoon. Then, go back a century-plus and kill baby Hitler. That was a stupid debate, wasn't it?