Quotes About Investors

I think I'm different. I've got alpha, baby...I think I can find the profits of surprise, the yield of real knowledge. Everyone says that, of course, but most investors are all beta--just volatility, just the random motion of the surf...they get killed. To generate alpha, I need help, direction, signposts, analysts, and sometimes even brandy-toting salesmen.

When herding behaviour among investors ramps up, a stock's or index's growth rate can increase faster than exponentially, leading to more herding. This positive feedback brings the system to a tipping point. About two-thirds of the time, a crash results.

The deal machinations many companies put themselves through, while certainly a bonanza for investment bankers, can confound the typical investor.

For me, it is very important that we listen to the voice of the investors, not only the voice of the Ukrainian government officials, parliamentarians, or the president.

The ultimate arbiters of the models of banking and the management of banking are the investors. It's the shareholders.

Ultimately, the success of America's market economy depends on trust. This includes trust between buyers and sellers, between lenders and borrowers, and between investors and the companies in which they invest.

If you're constantly making business decisions on behalf of your investors first, ultimately you're going to wear down your other stakeholders. It's going to be potentially hurtful for your employees and your customers and the community you do business with.

Too often, investors are the target of fraudulent schemes disguised as investment opportunities. As you know, if the balance is tipped to the point where investors are not confident that there are appropriate protections, investors will lose confidence in our markets, and capital formation will ultimately be made more difficult and expensive.

If investors avoid the Treasury market, we could be unable to pay off maturing securities, which would mean an immediate default. Market participants generally agree that even a brief default would create potentially catastrophic risks to the financial system, like the meltdown of 2008.

To minimize risk, investors want funds with securities that act differently. If one stock or bond fund declines in value, we want other stocks or bonds in the portfolio to gain in value. If two funds hold securities that are the same (i.e., overlapped), diversification is reduced and risk increases.

We recommend that mutual fund investors avoid load funds. If financial advice is needed, use a fee-only financial planner—not a mutual fund salesperson who has a conflict of interest.

Magellan taxable investors have a Hobson's choice. They must continue to pay high annual income and capital gains taxes by holding a tax-inefficient and underperforming fund—or pay a capital gains tax on all past profits, should they decide to exchange to another fund.

If you're CEO of a company, you have to be a public person. You're speaking to the press, you're speaking to investors, you're speaking to employees, you're the public face of the company and so kind of naturally you become more extroverted, more outwards facing.

The adaptive markets hypothesis says that all economic institutions, like our own species, develop and change over time, depending on the population of investors that are engaged with them.

For investors who do want to speculate in high-yield bonds, one alternative may be a junk bond mutual fund, which can offer investors the relative safety of diversification.

Delays in granting of justice very often reduce the speed with which investment could be undertaken, discouraging investors.

suppose they began to worry about the health of the Japanese currency, the yen, in which bonds are denominated and in which the interest is paid. In such circumstances, the price of the bond would drop as nervous investors sold off their holdings. Buyers would only be found at a price low enough to compensate them for the increased risk of a Japanese default or currency depreciation.

the joint-stock, limited-liability corporation: joint-stock because the company's capital was jointly owned by multiple investors; limited-liability because the separate existence of the company as a legal 'person' protected the investors from losing all their wealth if the venture failed.

The imposition of British rule (as in Egypt in 1882) practically amounted to a 'no default' guarantee; the only uncertainty investors had to face concerned the expected duration of British rule.

Europe's central banks had nearly all committed themselves to the gold standard by 1908; that meant that they nearly all had to target their gold reserves, raising rates (or otherwise intervening) if they experienced a specie outflow. At the very least, this simplified life for investors, by reducing the risk of large exchange rate fluctuations.

then resold their loans in bulk to Wall Street banks. The banks, in turn, bundled the loans into high-yielding residential mortgage-backed securities (RMBS) and sold them on to investors around the world, all eager for a few hundredths of a percentage point more return on their capital. Repackaged as collateralized debt obligations (CDOs), these subprime securities could be transformed from risky loans to flaky borrowers into triple-A rated investment-grade securities.

Entrepreneurs or international conglomerateurs, or large financial institutions buy or create mutual fund management companies to create a return on their own capital. It's capitalism at work, where the rewards tend to go to the managers rather than the investors.

The average mutual fund holding period for equity or fixed income is only about three years. It's too short.

Investors tend to discover 'hot' mutual fund managers just after a successful run and just before the inescapable force of mean reversion is about to kick in.