Eugene Fama

I don't even know what that means. People who get credit have to get it from somewhere. Does a credit bubble mean…

— Eugene Fama

I don't believe anyone wants to hear what I have to say.

— Eugene Fama

After taking risk into account, do more managers than you’d see by chance outperform with persistence? Virtually every economist who studied this…

— Eugene Fama

Debates go on to this day about what caused the Great Depression. Economics is not very good at explaining swings in economic…

— Eugene Fama

In an efficient market at any point in time the actual price of a security will be a good estimate of its…

— Eugene Fama

Active investment is a zero-sum game. Passive managers don't play the game. They buy something resembling the market as a whole, or…

— Eugene Fama

The distribution of the market is fat-tailed relative to the normal distribution... For passive investors, none of this matters, beyond being aware…

— Eugene Fama

There's quite a bit of evidence that even professionals don't show any ability to pick stocks or to predict market rollbacks. Most…

— Eugene Fama

State constitutions typically provide that the state first has to service its debt, then make it pension payments, and then pay for…

— Eugene Fama

The efficient market theory is one of the better models in the sense that it can be taken as true for every…

— Eugene Fama

People are always saying that prices are too high. When they turn out to be right, we anoint them. When they turn…

— Eugene Fama

People don't walk away from their homes unless they can't make the payments. That's an indication that we are in a recession.

— Eugene Fama

In my junior year in college, I was getting kind of tired of French. So, I took an economics course, and I…

— Eugene Fama

All the central banks are doing is substituting one form of debt with another form of debt. They're issuing short term debt…

— Eugene Fama

Tastes and behavior are important in economics. Nobody denies that. But the question is: How much of behavior is irrational, and how…

— Eugene Fama

Active management is a zero-sum game before cost, and the winners have to win at the expense of the losers.

— Eugene Fama

People would be a lot more skeptical if they understood that there is an incredible amount of chance in the results that…

— Eugene Fama

I can't figure out why anyone invests in active management, so asking me about hedge funds is just an extreme version of…

— Eugene Fama

If you go back to the late '50s, there really was nothing called "academic finance." Well, there was something being taught in…

— Eugene Fama

I take the market-efficiency hypothesis to be the simple statement that security prices fully reflect all available information.

— Eugene Fama

An investor doesn’t have a prayer of picking a manager that can deliver true alpha.

— Eugene Fama

Economies typically do not function well in hyperinflation. The real value of government debt might disappear, but the economy is likely to…

— Eugene Fama

Market timing doesn't work. If all the bubbles and all this mispricing really exist, how come so few people see it before…

— Eugene Fama

The proposition is that prices reflect all available information, which in simple terms means since prices reflect all available information, there's no…

— Eugene Fama

I'm an extreme libertarian, but I realize we're in a democracy, and in a democracy, people can have views of all stripes,…

— Eugene Fama