Market Predictions
Predictably Unpredictable
Submitted by Legacy Financial Group on January 18th, 2013By Eric Burkholder, Portfolio Manager
A 2012 review of market outcomes and the “experts” who failed to predict them.
“Prediction is very difficult, especially if it's about the future.” - Niels Bohr, Danish physicist
The world of investment advice and market forecasting is very profitable. Let me rephrase that. The world of investment advice and market forecasting is very profitable for those selling the advice. The outcome for those who invest on said advice is not quite as rosy. So each year I make a point to track all the “expert” predictions and highlight some of the more pronounced failures. 2012, as expected, did not disappoint.
Market Returns: A Presidential Prediction
Submitted by Legacy Financial Group on October 30th, 2012With only a short time left until we select the 45th President of the United States of America many investors are in a state of panic. Many believe the market is waiting for the outcome and if the "correct" candidate is selected the stock market will immediately surge on the news. Or, if the "wrong" candidate is selected the market will tank the next day. Fortunately, history provides a guide on this matter and it suggests that, when it comes to U.S. Presidents, the market is a true Independent.