Market Sense and Nonsense: How the Markets Really Work (and How They Don't)

Acknowledgments

First and foremost I would like to thank Joel Greenblatt for writing the Foreword. His first book, You Can Be a Stock Market Genius, was both an instruction manual and an inspiration to many hedge fund managers. I am honored that Joel, an immensely successful manager and a writer with the gift of making the complex not only understandable but also entertaining, agreed to write the Foreword to this volume.

I would like to thank Peter V. Rajsingh for his careful review of the manuscript and for his thought-provoking comments and suggestions, which unquestionably helped improve the precision and clarity of the text. I would also like to thank Caren Bianco for her meticulous reading of the manuscript—I couldn’t believe how many errors she spotted in what I thought was relatively clean copy. Her thoughtful comments and questions also inspired some revisions in the text.

I am grateful to Christopher Brodie for suggesting the market example I used in Chapter 2 to illustrate the nonsynchronous relationship between changes in fundamentals and market price response and for providing the accompanying charts.

I would like to thank Mark Hulbert for providing me with full access to his very comprehensive database on market newsletter returns as implied by their recommendations. The Hulbert Financial Digest is probably the only source for this data, and the relevant study in Chapter 1 would have been impossible without it. I would like to thank Daniel Stark for providing me access ...