• While I think the access to information is wonderful and can level the playing field, I do think the investing world has become much more complicated with the widespread adoption of the internet for ‘real-time’ information. In days past, when the medium of the grapevine was newspapers and conversation, news and emotion had a tendency to snowball and become exaggerated with each transition. As a consequence, once the news reached the retail or institutional investor it was perceived as either very, very good or very, very bad.

  • These days the propagation of news tends to be a little less adulterated and can reach many people at nearly the same time without effective snowballing. With this perspective in mind, I think we will never reach the hyper-acute pessimism and panicked selling of past crises.
  • With each market drop one can always ‘google’ a voice out there that says “Buy, there are bargains galore”. Less friction may very well soften the market bottom and those waiting for ‘Extreme Pessimism’ may just be waiting too long!? Only the retrospectoscope will show for sure. If you are bottom fishing I suggest you make up your own mind when the bottom is (or was) and jump on in. Anyhow,…… ‘there are bargains galore!’ ;)

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