donzoab

Taking Issue with David Dreman

Interesting article if not oversimplistic. The disclosure at the end is the most interesting part. LONG WFC?? Not buying more? What are you doing to protect the position. Buy puts or sell calls. Do something. This just sit on it mentality is what is forcing retail investors to work for another 10 years. Shame. Stop pointing fingers. Almost every aspect of finance is involved here. Brokers/investment banks selling garbage to the masses, manipulating credit ratings w/ratings agencies, shorting products they are selling to their clients (IE Goldman shorting munibonds), and on and on and on.
The REAL culprit here is the legal system. Unless Tort reform is finally passed, lawyers will rule the world and society will continue to say "I am not responsible for my own actions" Let the penalty fit the crime.