Customer Quote by Seth Klarman
“I think markets will never be efficient because of human nature.”
About This Quote
Source Book: Investment Strategies, 2013
Human behavior prevents markets from ever being perfectly efficient.
In simple terms: Human nature hinders market efficiency.
Account for irrationality.
Themes
Mood
Type
When to use this quote
- trading
- portfolio management
- policy making
Key Concepts
Questions to Reflect On
- How do emotions affect pricing?
- Can markets ever be truly efficient?
Efficient market hypothesis still useful in models.