The story of Alexander Hamilton lends itself to hip-hop treatment. Hamilton's personality is driven and unrelenting, and the music has that same quality. The music and the man mirror each other.
Ron ChernowRead
Any bull market covers a multitude of sins, so there may be all sorts of problems with the current system that we won't see until the bear market comes.
Interpretation
Bull markets can mask underlying economic issues that become visible during downturns.
This quote highlights the tendency of a thriving market (bull market) to obscure various financial and systemic problems. Investors and analysts often overlook or underestimate issues present in a booming economy, but these weaknesses can become apparent during a downturn (bear market), exposing vulnerabilities that were previously hidden by the optimism and success of rising markets.
In practice
This quote can be used in a financial seminar discussing market cycles.
The story of Alexander Hamilton lends itself to hip-hop treatment. Hamilton's personality is driven and unrelenting, and the music has that same quality. The music and the man mirror each other.
Reconstruction is the great black hole that remains to be filled. Even experts on the Civil War don't really understand its full significance.
Strange as it may seem, George Washington's life has now been so minutely documented that we know far more about him than did his own friends, family, and contemporaries.
When you're a biographer, you want to explore the very things that your subject didn't care to talk about.
When the market is just going up, up, and up, we all tend to be blind to the holes in the market. They're all papered over by the rise.
I find that when I come upon something that I think is a historical revelation, I have the sort of adrenaline rush that I imagine a gambler gets in Las Vegas when he hits the jackpot. It's still tremendously exciting to me, and I think all of my peers in the business feel the same way.
The difference between tax avoidance and tax evasion is the thickness of a prison wall.
Finance that only talks to itself & deals with each other becomes socially useless
When our financial system - essentially our money managers, marketers of investment products and stockbrokers - put up zero percent of the capital and assume zero percent of the risk yet receive fully 80% of the return, something has gone terribly wrong in our financial system.
Ben's Mr. Market allegory may seem out-of-date in today's investment world, in which most professionals and academicians talk of efficient markets, dynamic hedging and betas. Their interest in such matters is understandable, since techniques shrouded in mystery clearly have value to the purveyor of investment advice. After all, what witch doctor has ever achieved fame and fortune by simply advising 'Take two aspirins'?
When I hear complaints about less liquidity, remember there is such a thing as too much liquidity.
While the move to central clearing has made the system safer, we need to make sure that the central counterparties have the resources and risk-management practices to withstand plausible but severe shocks.
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