Inspiring  Quotes By Barry Ritholtz

Amongst the   financial Twitterati, the term 'muppets' has come to describe any client used   and abused by some financial predator. I've adopted the term to describe   portfolios that have been assembled for purposes other than serving the   clients' best interests.


To know whether   stocks are cheap or pricey, we typically look at price-to-earnings ratio.   Valuation is a tougher question than many folks realize.

Indeed,   eventually, random outcomes all revert to the mean, meaning that streaks   eventually end. Understanding this is a key part of intelligent and rational   investing.

I credit Google   for having the foresight to identify threats to its main business of selling   advertising against search results. The potential loss of market share in the   mobile space led them to the Android acquisition.

Asset managers   have different approaches, and I don't wish to suggest there is only one way   to run money. There are many ways one can attempt to reduce risk, improve   performance, lower drawdowns and reduce volatility.

Truth be told,   most financial television bores me. Two or more people discussing the latest   economic trends or hot stocks is not especially entertaining.


Any investment   bought via credit always runs the risk of margin calls and, eventually,   liquidation.

When you buy   anything with lots of leverage, it does not require a whole lot to go wrong   to lose it all.

When markets are   rallying, cash in the portfolio is a drag on performance, returning about   zero.