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I don't think you're completely correct about EPS in the broader market, (but correct in the headline names). The rest I agree with completely. What's surprisi
by JackFr 9y ago
I don't think you're completely correct about EPS in the broader market, (but correct in the headline names). The rest I agree with completely. What's surprising to me is that there wasn't some sort of retrenchment after the 2007-8 crisis.
I agree with your analysis about the agency problem, but I also see the it as too much money chasing too few assets. Ever desperate for return, money managers will chase anything that has a return, whether it's rational or not.
- csomar 9y agoWe are still too early in the bubble cycle. The returns are higher every year but they are linear. Wait until the public comes (free money?) and discover this; and then you get a parabolic market run and a subsequent crash.