78 Efficient Markets Quotes
Following is our list of efficient markets quotations and slogans full of insightful wisdom and perspective about .
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Famous Efficient Markets Quotes
In an efficient market at any point in time the actual price of a security will be a good estimate of its intrinsic value. — Eugene Fama
I take the market-efficiency hypothesis to be the simple statement that security prices fully reflect all available information. — Eugene Fama
The Efficient Markets Hypothesis fails because humans are herd animals, not independent rational actors. Thus the best investors tend to be antisocial and contrarian. — Naval Ravikant
Inefficient markets, generous returns, raw materials, mispricings, differential skill — Howard Marks
Investing favors the dispassionate. Markets efficiently separate emotional investors from their money. — Naval Ravikant
Investor psychology, priced anywhere, fundamentals — Howard Marks
Value investor, high risk, low prospective returns, high prices — Howard Marks
The true investor welcomes volatility ... a wildly fluctuating market means that irrationally low prices will periodically be attached to solid businesses. — Warren Buffett
Market prices are often wrong. Because access to information and the analysis thereof are highly imperfect, market prices are often far above or far below intrinsic values. — Howard Marks
The stock market is filled with individuals who know the price of everything, but the value of nothing. — Phillip Fisher
The stock market is filled with individuals who know the price of everything, but the value of nothing. — Philip Arthur Fisher
Skillful investors, risk, stability, dependability of value, relationship between price and value — Howard Marks
The market doesn't know everything, but it doesn't know nothing, and knowledge is cumulative. The market knows stuff now that it didn't know forty years ago, so it's harder to outperform. — Howard Marks
Greater fool theory, valuation, holding the bag — Howard Marks
In the stock market as in poker, the money tends to move from stupid to intelligent hands. — Thomas Phelps
Short Efficient Markets Quotes
- The markets are moved by animal spirits, and not by reason. — John Maynard Keynes
- In the short run, the market is a voting machine, but in the long run it is a weighing machine. — Benjamin Graham
- Fundamentals, value, price, successful investing — Howard Marks
- In markets, stupid action does not have equal but severe opposite reaction. — Vijay Kedia
- Compete for deals, low returns, slender margin of error — Howard Marks
- The markets are unforgiving, and emotional trading always results in losses. — Alexander Elder
- The intelligent investor is a realist who sells to optimists and buys from pessimists. — Benjamin Graham
- I've heard it said that an economist is a portfolio manager who never marks to market. — Howard Marks
Market Efficiency Quotes
I believe the market accurately reflects not the truth, which is what the efficient market hypothesis says, but it accurately and efficiently reflects everybody's opinion as to what's true. — Howard Marks
Corruption is government intrusion into market efficiencies in the form of regulations. — Milton Friedman
Nobody spends somebody else's money as carefully as he spends his own. Nobody uses somebody else's resources as carefully as he uses his own. So if you want efficiency and effectiveness, if you want knowledge to be properly utilized, you have to do it through the means of private property. — Milton Friedman
Blockchains will replace networks with markets. — Naval Ravikant
Investment students need only two well-taught courses - How to Value a Business and How to Think About Market Prices — Warren Buffett
The efficient market theory is one of the better models in the sense that it can be taken as true for every purpose I can think of. For investment purposes, there are very few investors that shouldn't behave as if markets are totally efficient. — Eugene Fama
The stock market is a wonderfully efficient mechanism for transferring wealth from the impatient to the patient. — Warren Buffett
A vital function of the free market is to penalize inefficiency and misjudgment and to reward efficiency and good judgment. By distorting economic calculations and creating illusory profits, inflation will destroy this function. — Henry Hazlitt
I have great, great confidence in our capital markets and in our financial institutions. Our financial institutions, banks and investment banks, are strong. Our capital markets are resilient. They're efficient. They're flexible. — Henry Paulson
The market is a mechanism for sorting the efficient from the inefficient, it is not a substitute for responsibility. — Charles Handy
People Writing About Efficient Markets
More Efficient Markets Quotes
Markets are efficient, but there are different dimensions of risk and those lead to different dimensions of expected returns. That's what people should be concerned with in their investment decisions and not with whether they can pick stocks, pick winners and losers among the various managers delivering basically the same product. — Eugene Fama
Second, they [those who disagree with market efficiency] always claim they know a man, a bank, or a fund that does do better. Alas, anecdotes are not science. And once Wharton School dissertations seek to quantify the performers, these have a tendency to evaporate into the air - or, at least, into statistically insignificant t-statistics. — Paul Samuelson
All you need is the best product in the world, the most efficient production in the world and global marketing. — Akio Morita
The barriers that renewables and efficiency face come less from our living in a capitalist market economy and more from not taking market economics seriously. — Amory Lovins
We do not have free market capitalism in America; we have crony capitalism. There is a huge difference between free market capitalism that democratizes a country and makes us more efficient and prosperous and corporate crony capitalism. — Robert F. Kennedy, Jr.
Innovation must lead infrastructure for a simple but compelling reason: Innovation produces new types of products and markets, and it is virtually impossible to know how to run those markets efficiently before they are created. — Myron Scholes
From the time I first understood economic principles, I was always concerned also that any system be operated on an efficient basis, which meant decentralization because knowledge is not concentrated anywhere. It's based on motivation, and so these are the advantages of, say, the cautious case for capitalism, that the market system is efficient. — Kenneth Arrow
The sad truth is that it is precisely those who disagree most with the hypothesis of efficient market pricing of stocks, those who pooh-pooh beta analysis and all that, who are least able to understand the analysis needed to test that hypothesis. — Paul Samuelson
I am not well qualified to criticize the theory of rational expectations and the efficient market hypothesis because as a market participant I considered them so unrealistic that I never bothered to study them. — George Soros
I have a name for people who went to the extreme efficient market theory-which is "bonkers". It was an intellectually consistent theory that enabled them to do pretty mathematics. So I understand its seductiveness to people with large mathematical gifts. It just had a difficulty in that the fundamental assumption did not tie properly to reality. — Charlie Munger
Value investing is predicated on the efficient market hypothesis being wrong. — Seth Klarman
City planning finds its validation in the intuitive recognition that a burgeoning market society can not be trusted to produce spontaneously a habitable, sanitary, or even efficient city, much less a beautiful one. — Murray Bookchin
The state owned monopolies are among the greatest millstones round the neck of the economy. Liberals must stress at all times the virtues of the market, not only for efficiency but to enable the widest possible choice. Much of what Mrs Thatcher and Sir Keith Joseph say and do is in the mainstream of liberal philosophy. — Jo Grimond
The reason the U.S. lags so badly is that we have obsolete rules that favor big over small, supply over efficiency, and incumbents over new market entrants. — Amory Lovins
Search, a marketing method that didn't exist a decade ago, provides the most efficient and inexpensive way for businesses to find leads. — John Battelle
If stability and efficiency required that there existed markets that extended infinitely far into the future - and these markets clearly did not exist - what assurance do we have of the stability and efficiency of the capitalist system? — Joseph Stiglitz
The argument for the free market is a complicated and sophisticated one and depends on demonstration of secondary effects. I have confidence market efficiency will win out. — Milton Friedman
There is no other proposition in economics that has more solid empirical evidence supporting it than the Efficient Market Hypothesis... In the literature of finance, accounting, and the economics of uncertainty, the EMH is accepted as a fact of life. — Michael Jensen
First, those who disagree with market efficiency simply assert that it stands to common sense that greater effort to get facts and greater acumen in analyzing those facts will pay off in better performance somehow measured. (By this logic, cure for cancer must have been found by 1955). — Paul Samuelson
The United States has the most sophisticated financial markets in the world, which does not leave much room to maneuver. But it also offers investors the greatest access to information and the ability to execute trades quickly and efficiently. So it is a mixed bag of opportunity. — Andrew Lo
Seven habits that help produce the anything-but-efficient markets that rule the world. 1. Think short term. 2. Be greedy. 3. Believe in the greater fool 4. Run with the herd. 5. Overgeneralize 6. Be trendy 7. Play with other people's money — Paul Krugman
Oil replacements and then efficiencies in engines and housing and the way we build houses is a very interesting market. — Vinod Khosla
By elevating the dictum of the market to the role of the sole criterion of rationality and efficiency, economics denies even all "respectability" to the distinction between essential and non-essential consumption, between productive and unproductive labor, between actual and potential surplus. — Paul A. Baran
If I subscribed to the efficient market theory I would still be delivering papers — Warren Buffett
Over the years, the U.S. economy has shown a remarkable ability to absorb shocks of all kinds, to recover, and to continue to grow. Flexible and efficient markets for labor and capital, an entrepreneurial tradition, and a general willingness to tolerate and even embrace technological and economic change all contribute to this resiliency. — Ben Bernanke
You have to understand as a marketer that consumers are functioning in the age of efficiency. — Mitch Joel
Haitian rice farmers are quite efficient, but they can't compete with U.S. agribusiness that relies on a huge government subsidy, thanks to Ronald Reagan's free market enthusiasms. — Noam Chomsky
Many of us economists who believe in efficiency do so because we view markets as amazingly successful devices for reflecting new information rapidly and, for the most part, accurately. — Burton Malkiel
The protection of private property does more than promote market efficiency; it enhances the level of human freedom in the most intimate and personal parts of our lives. — Richard Allen Epstein
Observing that the market was FREQUENTLY efficient, EMT Adherents went on to conclude incorrectly that it was ALWAYS efficient. The difference between these propositions is night and day. — Warren Buffett
The free market is not only a more efficient decision maker than even the wisest central planning body, but even more important, the free market keeps economic power widely dispersed. — Milton Friedman
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