If the liquidity or risk characteristics of securities differ, … then changes in relative demands by a large purchaser have potential to alter relative security prices. The same logic might lead the central bank to consider purchasing assets other than government securities, such as corporate bonds or stocks.
“The market, like the Lord, helps those who help themselves. But, unlike the Lord, the market does not forgive those who know not what they do. For the investor, a too-high purchase price for the stock of an excellent company can undo the effects of a subsequent decade of favorable business developments.” Please follow and […]
No school could teach someone how to be a great investor. If it were true, it’d be the most popular school in the world, with an impossibly high tuition. So it must not be true.” “Ick investing means taking a special analytical interest in stocks that inspire a first reaction of ‘ick.’ Please follow and like […]