Aronson believes that investors searching for market inefficiencies have reduced the potential to profit from those anomalies to the equivalent of transactions costs. If that is the case, minimizing transactions costs is critical in attempting to beat the market. In another forthcoming Journal of Finance article, James L. Davis, Eugene F. Fama , and Kenneth R. French argue that the answer is a definite yes. Companies with low price to book value ratios outperform and the pattern has been documented in both US and foreign markets. Opinions on that question definitely vary, but the standard disclaimer applies as always.
Past performance is no guarantee of future performance.
Witztum's Torah Codes site including responses to criticism. John Allen Paulos ' parody of the Bible Codes from Once Upon a Number Gallery Of Statistics Jokes Additional mathematical discussions are included in the Cherry Picking , Stock Market Scam , and Coin-Flipping pages. Copyright 1999 Investor Home. All rights reserved.