YouSaid · the spoken record

Burt Malkiel

lines on the record: 89
first: 2016-05-26
most recent: 2016-05-26
sittings or episodes: 1
sources: podcast

Every line below is reproduced as it was said and linked to the record it came from. Nothing here is summarised or generated. Directory · Search · Corrections

“I just found absolutely fascinating was it wasn't necessarily because people weren't good at it. My mentors at that time were people by the name of Bill Grant. Nelson Shannon, they were very good at it, but I began to realize, which I didn't know at the beginning, was the paradox that the more. The talented people are in this game. The less they can profit from it, because the more the talented people work and And invest in the and make market prices change. The better the market becomes, the And the better off people are just accepting the tableau of market prices that are out there and buying an index fund. And it was that kind of experience that finally led to this view that indexing was the way to go.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, I didn't know about indexing. In fact, when I worked at Smith Barney, I spent a lot of time with the research people. I had drunk that Kool-Aid at that point. I believed it could be done. Actually, one of the things that...”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“In saying that Wall Street is all dad, don't believe it. It's a fascinating career and finance has in fact been Extremely important in improving welfare. And we were talking about books. There's a book by Getzman, which has just come out about how money has in fact been absolutely essential in improving people's standard of living.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I would tell them that while finance sometimes has a very bad name, I mean, after all, we've had people, and they're really very, very similar, Bernie, in this campaign, Bernie Sanders says all the problems in the world are because of Wall Street and break up the banks and everything's going to be fine. And Donald Trump has not been very different from Bernie Sanders.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“You bet you because costs, again, my friend Jack Bogle would call it just as Einstein said at one point that compound interest is one of the greatest forces in the world. Well, the costs compound too, which Jack calls the tyranny of the compounding of costs.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, being in the vanguard of automated investment advisors and trying to build that business up, I do believe that this will become increasingly important and we will be able to automate investment advice because by doing so, we can charge less. And as I've said many times, I'm very modest about what I know or don't know about finance, but what I'm just absolutely sure about is if we can provide services At lower cost, that's a win-win for people because the lower the price I pay to the purveyor of any service, the more there's going to be for me.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I still would like to see something like that because I think as a nation we are not saving enough and many people are unprepared for retirement.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“And I think it's just extremely important. I think that one of the big mistakes also that people make Is that they don't save enough? I think that we do have a crisis in this country that as we are aging, many people are woefully unprepared for retirement. One of the things that I wish we had done as a nation, when George Bush was hoping to privatize Social Security, What I would have preferred that he do is do a private add on to the regular Social Security where you would have another percentage or so that would come out of your salary and this would be yours that could have been invested in index funds. I think if he had proposed that, it would have passed as opposed to trying to redo the whole system.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, for me, because as you know, I wrote there ought to be index funds three years before the first index fund was put into effect. What I am so pleased about is that indexing finally has taken off that money is flowing in. I think the ETF revolution is a terrific thing. While there are some ETFs, and here I would agree with Jack Bogle, there are some ETFs that I think are terrible. I don't think people should buy. This ETF gives you three times the downside of you were going to say that triple inverse of the SP. There are some of them that are terrible, but the plain vanilla ones allow people to basically buy the market at close to a zero cost. I think this is a revolution.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Gee, you know, you've sold a lot of copies of books, but you have got a pittance relative to this hedge fund guy. And the writer said, yeah, but I have got something that that fellow will never have, and that's enough. And again, this is an idea. It's actually a wonderful book of Jack Bogles that I recommend warmly to people.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, I think those are, you know, as again, we've talked about it and it's very well written, Charlie Ellis's book on winning the losers game. Is, I think, very important. And, you know, Jack Boggle has written some great books. In fact, I think probably one of his best books is not directly about finance and as says a lot about Jack Bogle. The book is called Enough. And it comes from this idea that there was a discussion with a writer. Who had sold a lot of books and the fellow pointed out to a hedge fund guy who had made billions of dollars and said to the writer”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“That we have in investing. And the insights in that book, which is a wonderful summary of what we know about behavioralism, this is, I think, you ought to read my book, but boy, I would definitely read that book. It's a terrific book.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“With a lean and hungry look, I was a wonderful cassus in a high school play. I would have loved to have done that and I love reading Shakespeare. I love theater. And actually a lot of the things the so-called fiction things that I read are plays because it would have been a wonderful career to have had. And other than thinking that it meant a life of being poor, I might have actually done that. With respect to other books that I think are very, very influential, I would point out Danny Kahneman's book, Thinking Fast and Slow. Again, I think that the insights of, you know, it's like the old POGO line. We've met the enemy and it's us. This is, I think, the biggest problem.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Certainly more than you'd ever get in the private sector. And I loved my experience. In fact, while, as I told you, I grew up poor and I did want to get out and earn some money. The army's not a place to earn a lot of money. But I actually thought, gee, you know, this wouldn't have been a bad career. The other possible career that I would have loved is I am a frustrated Shakespearean actor.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Actually, what I did was I did this right after business school. There was a colonel in the Army who was the commandant of the Army Finance Corps, and we were putting in a computerized pay and accounting system. And this colonel decided what we need are well-trained people to go into various posts to do it. And so I was a direct commissioned into the U.S. Army Finance Corps. Did the conversion of our pay and accounting system into a computerized one? And at the edge of 22, I had more responsibility than anybody could possibly have had at that private sector.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, let me give you one in the finance academic area and one. part of my own career. Sometimes I think it would be nice to have eight or nine lives because there are a lot of different things that would be fun to do. I mean, we haven't talked about this, but I was in the Army for three years, and the Army Finance Corps. I actually liked the Army.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“No, I think that clearly those are the main names in terms of my own career and my own life. Of people who have been influential”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“You know, as I said, it interested me before I had any money and could do anything with it. So finance is fascinating, and I do think that while a lot of people are very angry about finance because finance did practically bring the world down and the financial crisis finance is also absolutely essential and can help people more than it can hurt them.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, as I said, I think I had a couple of professors who were very influential, who really did want me to be an academic, who in fact We're very disappointed when I first went into business within the business community. People like Jack Bogle, who we've talked about before Who I liked particularly both because he and I did see eye to eye on ninety five percent of the things about investing, and who also had a social conscience This was a business person who showed you that you can actually do well financially by doing well for your client. And I guess that was a particular influence for me in the things that I had done. And look, finance is fascinating.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, I was at Princeton, as you pointed out in your introduction. I worked for the government for a couple of years on the president's Council of Economic Advisors. I was a management school dean at Yale for seven years. So I've done a lot of different things, and I've enjoyed that because I think life is richer to the extent that you get more and more experiences.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“So basically that was kind of my career of not deciding what I wanted to be when I grew up. And in fact, thinking, well, maybe I can do both things than I have.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“So that I, then being on the prudential board and knowing other people got on other boards, and basically became someone who could live in both worlds and who could make a good living from being in the business world and did the writing and teaching that I enjoyed. I enjoyed teaching. It's one of the reasons why I wrote Random Walk.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Had had had a scandal at one point where the chairman was having prudential lend to some of the entities that the chairman controlled. And the legislature decided that there had to be six public directors of prudential chosen by the The chief justice of the New Jersey Supreme Court, the Chief Justice interviewed a number of people for this, including me, put me on the prudential board, and I then came to the point and said, you know, I could be a professor and still be a business. You know, I sort of never decided what I wanted to be when I grew up.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“But what I found was I was thinking I really did like economics. I was trying to go to NYU and get a PhD at the same time that I worked for Smith Barney. But I was an investment banker. I was traveling. I was missing more of my classes. And what finally happened was I finally did make enough money so that I didn't feel poor anymore. And I took a leave of absence. To go to Princeton, get a PhD, I expected to go back into Wall Street, still liking finance But an interesting thing happened. They said to me, hey, you've been a pretty good student. Come and stay and teach. And so two things happened. I said, all right, I'll try it for a year and see if I like it. And secondly, Prudential financial”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, I was always interested in finance. I mean, I grew up a poor kid in Roxbury, Massachusetts, which is part of Boston. And we lived in a tenement house. We had no money. But I was just sort of fascinated with numbers. I was fascinated with the stock market. I had no money in the stock market, but I knew the price of General Motors stock as well as I knew Ted Williams batting average. And when I was in college, I was a good economic student. And my professors in college said, you ought to go to graduate school and be an economist. And I said, no, no, look, and I grew up poor. I want to go and make some money. So I did go into business school. I did then go into Wall Street. I worked for Smith Barney for almost three years. I was an investment banker.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“To the extent that they get their customers to diversify. Have some safe parts of the portfolio to keep on an even keel, to tax manage, that is to the extent that you have an IRA or a 401k to the extent that you have that and have some fixed rate instruments, they ought to go into that part of the portfolio and to the extent that you're in the taxable portfolio. Maybe that's when you put some municipal bonds in if you want some bonds. And this may seem very obvious, but that's something that individuals don't obviously think about. So there's a lot that financial advisors can do. And what I think is particularly useful in terms of what I'm doing with this automated advisor is if we can do it more efficiently. If we can do it at lower cost, It's going to be much better for the individual.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“It's amazing. The lesson about timing is not only do you not know when to get in, you don't know when to get out. And when you market time, you've got to be right twice. You got to know when to get out and when to get in. Nobody, and I really believe this, nobody but nobody can do that.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Don't try to time the market because it's not that you don't, it's even worse than that you don't know how to do it. It's that when you do it, you're much more likely to be wrong rather than right.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Exactly. And of course, what we know is that was precisely the time to get in rather than going out. And in fact, This is where our emotions get a hold of us, and in fact if it's the best thing that an investment advisor can do, whether it's a regular investment advisor or one of the automated advisors that I work with is to keep people on an even keel. That's the best lesson that we can have is for heaven's sakes don't let your emotions get a hold of you. Be a regular investor for retirement. Put money in every pay period, every quarter. You'll take the advantage of dollar cost averaging, which in a volatile market will actually help you because you buy more shares when the price is down, when the price is up.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“When the market was low in 2002, and when did most of the money come out of the stock market? Out of equity mutual funds, individuals took out scores and scores of dollars in the third quarter of 2008. Which turned that was when the world was collapsing.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“And the Genesis Fund had something called the Janice Twenty, the twenty best ideas that they had. They were all Internet companies, and the sick joke that we had is, you know, why do we have to go and do the accounting of having the money go from Windsor into the money fund and then to Janice? Why don't we just package up the money and send it to Denver right away? Well, you know what happened. The Janice Fund lost 80% of its value. In fact, value funds did very well after the market crashed. So here is the problem. People are putting their money in when they're optimistic. They're going into these momentum types of things. The money then came out.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“At that period, because value funds, which were actually cheap, Had outflows, we at Vanguard, the flagship value fund that we had was called the Windsor Fund. Sure. It was run by a man by the name of John Neffer, a great money manager. He was losing money all the time. Now, you don't know in a mutual fund complex exactly where those flows were going, because when you redeem in a complex like Vanguard, you just redeem the fund and it goes into the money market fund. So you have to look at where the checks were written. So we looked at where the checks were written, and in fact the checks were being written to this company in Denver called Janice”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“And in fact, if It went into the growth funds, it went into probably the most overpriced part of the market. We used to have a sick joke at Vanguard.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, I think when you actually look at how this works with what people do, let me tell you what I think the main lesson is. One of the things that we know is that people tend to To sell out when things are looking grim and to buy when everybody is optimistic. We have very good data on the flow of money from individuals into equity mutual funds. And what we know from those data is the following fact, that money flows into the market when everyone's optimistic. In the first quarter of two thousand, at the top of what clearly in retrospect was a bubble, more money came into equity mutual funds than ever before.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“On boards like Vanguard, where we had some people trying to do market timing, because Vanguard, as you pointed out earlier, has some actively managed funds. I've been a long-term director of Prudential Financial. We had people trying to, I have never known anyone who could consistently time the market. And in fact, I've never known anyone who knows anyone who was able to consistently time the market. Sure, jump out of the tracks if a train is coming, but it isn't that obvious.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, look, absolutely, you want to jump out of the way. The problem is it just isn't that obvious that there's the train coming. You know, maybe it's a light at the end of the tunnel rather than the train coming in the opposite direction. And I think the people who have tried to do market timing have, I think, really not been successful. I have never known, look, remember, I've been”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“And, you know, that's the wonderful thing about capitalism. If you have free markets and somebody can jump into a market if there is an opportunity, you can count on the fact that somebody will. So I'm not worried about it. If, in fact, it was the case that markets were getting less and less efficient in reflecting information, believe me, there'd be a profit motive for somebody to jump in because if there's a chance to make money in this world, that's the beauty of capitalism. Somebody will find a way to do it.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“You know, when indexing is 95% of the total, I might start to worry about that. But I think with indexing 30 to 35 percent of the total, there is still plenty of active managers out there to make sure that information gets reflected quickly. And in fact, I think it'll always be the case. Suppose indexing was so great that in fact The market wasn't reflecting the news. Then it will pay somebody to jump into the market.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Facebook, you know, all of these were just doing well. There was a lot of momentum. And then all of a sudden, it crashed. And so while there might be something there, I think there's also an inherent risk in following some of those factors. So again, my view is that they're not nearly as dependable as people argue they are They probably are associated with larger risk. And as I've looked at all the smart beta ETFs over the last five years, I do not find that as a group After expenses that they have in fact been a good deal for investors. So my view is plain vanilla capitalization weighted indexing is still in my view the way to go.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Until it doesn't. I mean, again, you know, this fellow on a different network who will be nameless would talk about the Fang stocks.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“It's possible, but I would also say, since there are a lot of small caps that really can lose half or three-quarters of their value. They're also, I think, in my view intrinsically riskier. And I think that's the other point about this. Let's take momentum, which is one of the ones that there's been a lot of recent work on. There is a little bit of past evidence. That there is some momentum in the market. There are also what is called momentum crashes that sometimes you get a momentum stock and it works fine until”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Value is the other. That's the three-factor and the regular beta, the regular volatility is the third one of the FAMA-French three-factor model.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Over the years, I think largely because of the situation in the year 2000 when growth stocks sold a triple-digit multiples. And I remember my own public service of New Jersey sold at a multiple, not too much, over 10. So obviously the growth stocks went way down. The value stocks did well. Not dependable though year to year. In fact, the last few years, value stocks have been a trap. They haven't been good. So my sense is it's really an excuse To charge instead of five basis points seventy five or one hundred basis points, and if you do get a higher rate of return, it's only because you've taken on more risk. And these other factors are really not nearly as dependable as the proselytizers for smart beta suggested.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Then larger companies, so that if you get a somewhat higher rate of return for taking on more risk, that doesn't mean the market is inefficient. That doesn't mean it's a real alpha. That just means you took on more risk. Junk bonds yield more than AAA bonds, of which there are only a few now. But the point is, yes, you can get a higher rate of return for taking on more risk. So what smart beta says is let's put the portfolio together with some of these factors. That have been associated with higher returns. And my sense is that either you get the higher rate of return because you've taken on more risk or that the factor isn't nearly as dependable as it's been in the past. For example, value has generally done a little better than growth.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I believe that smart beta is mainly smart marketing and it's not smart investing. Now what smart beta is is the following. What we know from history is that there are certain factors that have been associated with somewhat higher stock returns. Example We know over time the returns from smaller companies have been generally a little bit higher than the return from larger companies. Now my sense is that's probably right it probably will continue but in fact smaller companies are riskier”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I know on the calendar. Exactly. What's news is something that you can't predict from the past. What's news is, for example, today, it looks like an Egyptian airliner was taken down by terrorists. That's news. You couldn't predict that yesterday. You couldn't predict that the day before. And so news is in some sense random. And by random I mean unpredictable. And it's the unpredictable things that move prices. And what I am suggesting is that to the extent that they mean that prices should be higher or lower, the prices change right away.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, look, if there is a headline that comes out tomorrow, and it says men's stores are gearing up for a Father's Day buying season. That's not news. I could have written that six months ago. That's a calendar.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I think the bulk of them don't, and I think it's getting harder and harder. And the paradox of professional advice, if it works, it's going to destroy the alphas. And I'm very suspicious. I don't think that suppose there even is some alpha around. The 2 and 20 mean the alpha's all going to go to the purveyor of the service. I think there'll be less and less of it. And again, when we talk about the things that Yale University did that my own university did, remember also that a lot of these things, it's less well known, would cut their own deals with these people and they wouldn't necessarily pay two and twenty. The alphas that are around, if there are any, are not going to justify 2 and 20 for the buyer of the fund.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“It does not work now and the hedge fund returns have been just terrible over the last five years. And I think what you are seeing slowly, these things don't happen overnight, but slowly you are seeing pressure on fees and more and more institutions questioning. Who wrote the book on institutional management of using hedge funds? And David was then going to write a book for individuals. He then looked at the situation today and said, oh my God, you can't do it anymore.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“There were some arbitrages and some hedge funds like Citadel was one example of a hedge fund that got built up that way, did very, very well. Those opportunities now have basically been arbitraged away. That's the idea of efficiency that as more and more good people get into something the opportunity goes away. It's like, you know, suppose there was a Christmas rally, that the market goes up between Christmas and New Year's, well, then if you know about it, then what you do is you buy the day before the Christmas holiday and you sell the day before New Year's in order to take advantage of it. But then you realize you've got to go two days before and sell two days before the end, and then of course it disappears. And so I think what's happened is that worked for a while.”
2016-05-26 · Masters in Business · Interview With Burt Malkiel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source