In real-world Finance, they don't pay for elegance. They pay for power - predictive power. - Robert Haugen

In going directly to Investment Heaven, you build your portfolio as you would build a wonderful company through a merger and acquisition program. You specify the way you want your portfolio to look, and then you assemble the profile piece by piece by bringing together companies that make their own individual contributions to the desired character.

Behaviorists tell us that we tend to overweight and overreact to the most recently received information. If we do, we will find that the information that we thought was so important becomes tempered, and reduced in significance, by new and related information that follows.

Less volatile stocks tend to have negative abnormal profits; more volatile stocks tend to have positive abnormal profits.