Many investors take their own current emotions as indicators of the market’s future moves…

Must Reads of the Week

Our favorite reads of the week and the quotes that make them worthy…

“Imagine the weight you would place on your decisions if you thought about the impact they would have on you and your offspring over the next hundred years.”

Nothing Into Something by Nick Maggiulli | Of Dollars and Data

“Worse, many investors—individuals and professionals alike—take their own current emotions as indicators of the market’s future moves.”

You Can Time The Market, Just Not All The Time by Jason Zweig | The Wall Street Journal

“Resist the urge to assess a fund’s merit solely on its performance. A robust investment process is far more important, though it is more difficult to evaluate.”

A Framework for Analyzing Multifactor Funds by Alex Bryan, CFA | Morningstar

“But it’s hard to argue things haven’t fundamentally changed in the make-up of corporations because of technological innovation. This is not your grandfather’s stock market.”

Is Software Eating Value Investing? by Ben Carlson | A Wealth of Common Sense

“We will need to harness the fundamental principle underpinning all research—to stand on the shoulders of giants, with each new breakthrough building on the work of others before it.”

Who Invented the iPhone? by Matthew Hayes | Scientific American

“The results suggest that the more important contributor to the economy’s sharp contraction in 2008 came from the runs on credit markets.”

Bernanke Says Credit Freeze More to Blame Than Housing Bust for Severity of Latest Recession by Nick Timiraos | The Wall Street Journal

“Ultimately, college is expensive in the U.S. for the same reason MRIs are expensive: There is no central mechanism to control price increases.”

Why Is College in America So Expensive? by Amanda Ripley | The Atlantic

“A burgeoning private market is not necessarily a bad thing. Betting on startups is something that probably should be limited to people that can afford to gamble.”

Making Private Public by Michael Batnick, CFA | The Irrelevant Investor