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Even those who are activeinvestors reflect sentiment at depressed levels. pic.twitter.com/J1EHKFFZpu — Mac10 (@SuburbanDrone) May 19, 2023 I mentioned below that Bear Stearns blew up the same weekend in 2008 that SVB did in 2023… The market then rallied after the initial bank panic was squashed. So what's the problem?
BALCHUNAS: … I would say the financial crisis of 2008 is when they really kicked in. So that mutual ownership company that he created, and once it got really popular and they gradually then suddenly kicked in in 2008, and they started getting trillions, once the trillions start to kick in, a couple of things happened. RITHOLTZ: Right.
That’s amazing leverage. 00:20:33 And so in that period they ceased to be passive investors, they became activeinvestors, and that became an opportunity for outperformance. Everybody is an activeinvestor. They’re also an active trader, but they’re not actively selecting stocks.
ETFs can also be a great way for more activeinvestors to find new stock ideas. On the valuation front it looks at the price-to-earnings ratio , but also the financial-leverage ratio and return-on-equity ratio, which are quality factors. Apple: if you invested $1,000 when we doubled down in 2008, you’d have $42,169 !*
Apple: if you invested $1,000 when we doubled down in 2008, youd have $44,103 !* Our sizable scale and technology advantage has allowed us to generate positive operating leverage and rising returns on tangible equity. First, we will stay laser-focused on unit costs leveraging our lead in technology. Turning to the portfolio.
It’s because of these biases that we have inefficiencies in the market that we can then exploit as activeinvestors. So it’s just interesting to think about, again, as an investor, how do you handicap your own biases? So I had some experience in Africa that was able to leverage for this role.
We held Walker & Dunlop's annual summer conference in Sun Valley, Idaho two weeks ago with some of the largest and most activeinvestors in commercial real estate. The sentiment at the conference was that after two years of rising interest rates and limited investment activity, it is time to get active again.
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