A blog for Beginning or Small Money Investors | Chroma Investing

Chroma Investing

Stock Investing for beginning investors, Investing Small Amounts of Money, interested in Buffett, Klarman, and Graham

Montier Bitch Slaps Efficient Market Theory

Posted on | January 23, 2010 | No Comments

As readers of my blog know I have never believed in the Efficient Market Hypothesis. It is just plain stupid. Here is a speech from the brilliant James Montier humiliating the idea, using cartoon characters in the process. Definitely check it out if you haven’t. I must thank Miguel at Simoleon Sense for leading me to this speech and James Montier in particular.

Ultimately, Montier delivers a prescription “towards a better way of Investing.”

He sums it up like this:

  • Focus on Maximum real return after tax
  • Value, Value, Value
  • Be Contrarian
  • Be Patient
  • Be Unconstrained
  • Don’t Forecast
  • Cycles matters
  • History Matters
  • Be Skeptical
  • Be Top Down and Bottom up
  • Treat your clients as you (sic)
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    About Chroma Investing

    Chroma - freedom from dilution with white and hence vivid in hue. Who said investing has to be all black and white, or gray.

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