Prudent Man CFA

Buffett's Import Certificates Plan Could Pilot the Economy to a Safe Landing

Why are pilots good in crisis and bankers and investment bankers not? Pilots don't go to Ivy League Schools where they are taught they can walk on water so they don't have to do their homework!!!

Buffett on Investing vs. Business

I have found in my close to fifty years as an investment professional that virtually no retail clients understand the stock/equity business ownership risks. I also know of some money managers and hedge fund traders who are completely clueless about business and they have MBAs or law degrees from Harvard. This past year is proof that Investment bankers don't understand how to run a business, but most of us old timers knew this in the late sixties and early seventies and they have continued to make the same mistakes over and over again.

This is good stuff and should be included in the "Know Your Customer Questionnaire" when brokers open client accounts. Of course, nobody expects the media to understand any of this as few market commentators can balance their own checkbooks.