This Market Is for Noobs
Bloomberg Businessweek|November 23 - 30, 2020
Professional money managers aren’t beating the market. The novice trader next door might be
- Pat Regnier
This Market Is for Noobs
At a time of peak complexity in markets—when a pandemic rages, a recession seethes, and new-wave experiments are conducted in fiscal and monetary policy—it’s not the quants or the mutual fund managers or the proprietary traders or any other Wall Street constituency who are figuring out the situation first. It’s the amateurs.

A basket of the stocks that newbie traders love most soared 62% for the year through Nov. 17, according to Goldman Sachs, which created the list. That beat the usually bulletproof S&P 500 by 50 percentage points and almost doubled the return on a list of hedge fund favorites. Thanks to bets on cruise operators, airlines, and electric cars, screenshots of six-figure brokerage accounts inundate Twitter. In the age of behavioral economics, the financial world is obsessed with diagnosing the biases and talents that explain investing success. In that context, two theories are usually offered to explain how retail investors came to rule 2020.

The first is that individual investors, unlike the pros, don’t have to worry about their careers. Unencumbered by risk controls and unconcerned with how their decisions would look to others, quarantined amateurs flush with time were simply freer than their suited counterparts to invest at the March bottom. They correctly surmised that a recovery would rescue the companies that bore the brunt of the plunge. They “bought low” and reaped rewards equal to their daring.

この蚘事は Bloomberg Businessweek の November 23 - 30, 2020 版に掲茉されおいたす。

7 日間の Magzter GOLD 無料トラむアルを開始しお、䜕千もの厳遞されたプレミアム ストヌリヌ、9,000 以䞊の雑誌や新聞にアクセスしおください。

この蚘事は Bloomberg Businessweek の November 23 - 30, 2020 版に掲茉されおいたす。

7 日間の Magzter GOLD 無料トラむアルを開始しお、䜕千もの厳遞されたプレミアム ストヌリヌ、9,000 以䞊の雑誌や新聞にアクセスしおください。

BLOOMBERG BUSINESSWEEKのその他の蚘事すべお衚瀺
Instagram's Founders Say It's Time for a New Social App
Bloomberg Businessweek US

Instagram's Founders Say It's Time for a New Social App

The rise of AI and the fall of Twitter could create opportunities for upstarts

time-read
4 分  |
March 13, 2023
Running in Circles
Bloomberg Businessweek US

Running in Circles

A subscription running shoe program aims to fight footwear waste

time-read
3 分  |
March 20 - 27, 2023
What I Learned Working at a Hawaiien Mega-Resort
Bloomberg Businessweek US

What I Learned Working at a Hawaiien Mega-Resort

Nine wild secrets from the staff at Turtle Bay, who have to manage everyone from haughty honeymooners to go-go-dancing golfers.

time-read
10 分  |
March 20 - 27, 2023
How Noma Will Blossom In Kyoto
Bloomberg Businessweek US

How Noma Will Blossom In Kyoto

The best restaurant in the world just began its second pop-up in Japan. Here's what's cooking

time-read
3 分  |
March 20 - 27, 2023
The Last-Mover Problem
Bloomberg Businessweek US

The Last-Mover Problem

A startup called Sennder is trying to bring an extremely tech-resistant industry into the age of apps

time-read
10+ 分  |
March 20 - 27, 2023
Tick Tock, TikTok
Bloomberg Businessweek US

Tick Tock, TikTok

The US thinks the Chinese-owned social media app is a major national security risk. TikTok is running out of ways to avoid a ban

time-read
10+ 分  |
March 20 - 27, 2023
Cleaner Clothing Dye, Made From Bacteria
Bloomberg Businessweek US

Cleaner Clothing Dye, Made From Bacteria

A UK company produces colors with less water than conventional methods and no toxic chemicals

time-read
3 分  |
March 20 - 27, 2023
Pumping Heat in Hamburg
Bloomberg Businessweek US

Pumping Heat in Hamburg

The German port city plans to store hot water underground and bring it up to heat homes in the winter

time-read
3 分  |
March 20 - 27, 2023
Sustainability: Calamari's Climate Edge
Bloomberg Businessweek US

Sustainability: Calamari's Climate Edge

Squid's ability to flourish in warmer waters makes it fitting for a diet for the changing environment

time-read
4 分  |
March 20 - 27, 2023
New Money, New Problems
Bloomberg Businessweek US

New Money, New Problems

In Naples, an influx of wealthy is displacing out-of-towners lower-income workers

time-read
4 分  |
March 20 - 27, 2023