Passive Investing IPOs Market Volatility

Morgan Stanley Chief Economist To Wall Street: Ask Better Questions; Stop Acting Like Sheep

At times Wall Street institutional investors have a romanticized view of themselves. They like to think they are the contrarian, the independent investor with nerves of steel to buy when blood is on the streets and retail runs scared. In reality, the questions they currently ask reveal a herd mentality. In Sunday research note Morgan Stanley Chief Economist Adam Parker says meetings with different investors proceed in similar fashion, revealing a similar mindset. The investor one-on-ones “go on to say the same thing about their view that we have heard in several previous meetings.” If investors want to ask Parker real alternative questions, which he appears to cherish, ValueWalk has a few ideas.

Morgan Stanley Chief Economist getting asked the same questions at different investor meetings

Investing with the thundering herd requires looking deep into the market to find the not so obvious fundamentals driving behavior. Consider a doctor looking at an “obese person” and a “skinny person” and making a determination on starvation without really asking questions or conducting analysis, the report observed, using a loose but provocative correlation. Today’s markets require in-depth understanding that might not be a consensus view.

SORRY!

This content is exclusively for paying members. Access all of our content on including years of timeless investment news and in depth analysis for only a few dollars a month by signing up here while also supporting quality content and journalism, or learn more about our premium content here

If you are subscribed and having an account error please clear cache and then cookies if that does not work email support@valuewalk.com and we will get back to you as quick as humanly possible


Saved Articles
X
TextTExtLInkTextTExtLInk

Are you a smart investor? Join tens of thousands of sophisticated investor reading our authoritative free newsletter

* indicates required


Congrats! Are you a smart person?

We have an exclusive targeted for being a sophisticated and loyal reader.

Sign up today and get three months free

Use coupon code vip19 or click on the button below

Limited time offer only ENDS 9/130/2019 or after next 25 15 subscribers take advantage whichever comes first – please do not share this discount with others

 

0