Publisher's Synopsis
B&W Edition - Staying the course is difficult even for the disciplined investor. Think about it! When you buy a stock or mutual fund and don't trade in and out of a position, the bankers and brokerage firms don't make money on this long term approach. They make money from trading activity. How? When you sell or buy a stock (and in some case a mutual fund) the banks and brokerages get paid for the transaction. That's why on even a down day in the market; the bankers and Wall Street executives are clapping at the ringing of the closing bell. They are not clapping when the market closes because the market was down, and now that it's closed they no longer have to be concerned with falling stock prices. For them, the falling stock prices were never a concern to begin with. In fact, the wild descents and ascending of the market is what they like. The more volatile the market, the better it is for the banker and Wall Street brokerage houses. So when you trade excessively, you will help fatten their bank account, whether you make money or not. Find out you how to examine stocks that have performed well in the past using back-testing... while revealing ways to identify stocks with similar attributes that have a high probability to outperform. This book is intended for those with some basic knowledge and understanding of investing even the novice investor can benefit from the technical and fundamental concepts covered in this book. While this book does cover complex concepts like Capital Asset Pricing Model (CAPM) and economics, and can be beneficial to MBA students and CFA students, it is not limited to this audience.
