/biz/ - Business & Finance

>>14292211
EMH isn't some magical force that keeps people from making above average returns. it's people buying (or selling) a stock until it's not worth buying anymore to the best of their ability, knowledge, and technology. Buffet made his first few million buy just reading the books of companies and finding the one where their assets were worth more than their market cap. that opportunity was only there because investing was a relatively small profession that didn't have the man power to come through all that data. also stocks were traded over telegram or whatever.
Lynch asks people to notice stuff like what local foods are popular, which is something grocers and food chains didn't track back in the 80s, but they definitely do today. the whole idea of big data blew up a decade ago; everything is tracked, data mining bots go through everything. an investing edge means you have an information edge, which Lynch's philosophy doesn't provide anymore.
watch Moneyball if you haven't already. about how statistics took over what should have already been an optimized game. the world has definitely changed since the 80s.
>but they only do better than average by random chance, but I think that still remains to be proven.
that's essentially what those studies I linked provide evidence for. rather, the burden of proof should be on you as you're proposing that a specific philosophy can improve the dismal returns of your average retail investor.

>>8772042
well you can take comfort in the fact that nobody in your industry has any fucking clue of what they're doing either.