STOCK markets in many parts of the world are hovering at multi-year highs. Should investors be scared? I looked at five markets this week - Singapore, Hong Kong, South Korea, Japan and the US - to ascertain their prices relative to their value over the past few decades.
IN a paper entitled Real Estate Prices in Beijing, 1644 to 1840, Prof Susan Wachter of the Wharton School of the University of Pennsylvania and two other colleagues hand-collected from archival sources transaction prices and other house attributes from the 498 surviving house sale contracts for...
REGULAR readers of this column would notice by now that I like to tease out stories by manipulating massive amounts of data. From the kind of "manipulation" I do, I am able to compress time and show events that have taken place in the last 20 or 30 years in my graphs.
AFTER the tragic events of 9/11, a team of Harvard psychologists quietly "invaded" the US intelligence system. The team, led by Richard Hackman, wanted to determine what makes intelligence units effective.
I NOTICED lately that whenever I watch a movie, there is always one line in it that strikes a chord with me. In Cloud Atlas, that line was: "Our lives are not our own. From womb to tomb, we are bound to others. Past and present. And by each crime and every kindness, we birth our future."
MANY many moons ago, when I didn't know that much about the stock markets and thought that putting one's money with unit trust managers was the best way to grow one's money, I went to a bank and put $8,000 into a unit trust.
WE have seen quite significant movements in the foreign exchange in the last few years. Recently, in response to major policy shifts in Japan, the Japanese yen fell by some 20 per cent relative to the US dollar between early June 2012 and early March this year.
LAST week, I wrote an article on the performance of unit trusts registered in Singapore over the past 10 years, based on data compiled by Morningstar. In that analysis, I found that emerging-country funds were the best performers in the 10 years to end-January this year.
IN my column in The Sunday Times last week, I wrote about the "bullet-proof portfolio" proposed by US investment analyst and politician Harry Browne in his book, Fail-Safe Investing: Lifelong Financial Security in 30 Minutes.
OVER coffee this week, a friend shared this study with me. He said that analysis of component stocks of market indices say, the S&P 500, has shown that companies which are run by founders in general outperformed the others which are corporates, run by professional managers.
THE friend whom I quoted as saying a trade changes the trader said I missed the subtlety of his comment. "My point is the experience of buying and selling something changes the person who does the buying and selling," he wrote to me. "It is a feedback mechanism or reflexivity that is often...
One would need clairvoyance if the stock market operates in a world of its own, detached from the logic we know that operates in the physical world that we live in. But here is a central truth to the stock market: Underneath it all, there is an economic reality. Companies have to make money in...