03-17-2009, 02:45 PM
Quote:Most movement in stocks are the cause of mutual funds shifting positions. The funds decisions are made by people who are very very good, and even they can make bad choices at times.
Sure, but when the zeitgeist, from the business schools through the banks to Jim Cramer and co. to guys-who-read-the-WSJ are all selling each other the same snake oil, the problem is that nobody is holding a critical mirror up to the whole mess. It becomes an echo chamber.
The funds managers just watched the dow nearly halve in value; they may be very, very good, but they just did very, very badly. Nearly every major player was holding dynamite, and anyone who told them so was either ignored, or just drowned out.
-Jester