When the barbarians are at the gates, interest rates rise and bond prices fall precipitously. - William J. Bernstein

We tend to think of the stock and bond markets as relatively recent historical phenomena, but, in fact, there have been credit markets since human civilization first took root in the Fertile Crescent.

In fact, the nation's biggest investment pools are the retirement funds of the large corporations and governmental bodies, such as the California Public Employees Retirement System (CALPERS), which manages an astounding $170 billion. These plans receive a level of professional management that even the nations wealthiest investors can only dream of.

The real reason that physicians are rotten investors is that it never occurs to them that finance is a science, just like medicine.