The Sunday Telegraph London, February 17th, 2008
Just like people, the financial markets can be completely irrational. Of course, at the root of the recent share price yo- yoing are real problems with the global economy, but when news of such problems breaks markets tend to overreact.
Sensible investors would do well to take a step back to think about what is fundamentally going on with companies. Yet even with experienced investors there is a risk that short-term news and erratic share price movements will stymie a long-term investment decision. After all, nobody wants to buy a stock on Monday only for the price to go down by 20 per cent o...
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