Surrounded by pessimism
As we write in mid-2002, surrounded by pessimism, our view is that the required return for holding stocks is at levels unseen since 1990, or 1980, or 1950, when memories of depressions or crashes were still hanging in the air. If ever there were a time that investors would only buy risky investments when the anticipated returns were in the 50 percent-and-over area, this time would seem to be now. We see no reason that our expectations will be disappointed. Why shouldn't an improvement in lifespan or the rules of the game of business reap in the next 50 years the kind of results that greeted investors in the past 50?
Practical Speculation, by Victor Niederhoffer and Laurel Kenner, page 215
Comments
gurkay on April 8, 2025 6:40 am
so what’s your take of action Victor are you shorting or just observing?