A Random Walk Down Wall Street

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A 1973 book by Burton Malkiel arguing that security prices are completely unpredictable, especially in the short term. The book sets forth the idea that both fundamental analysis and technical analysis are wastes of time, as securities behave randomly. Thus, Malkiel holds that it is impossible to outperform the market by choosing the "correct" securities; it is only possible to outperform the market by taking on additional risk. Malkiel cites the fact that many actively managed mutual funds do not outperform the market over time, and in many cases revert to the mean. Critics of this idea contend that empirical evidence shows that security prices do indeed follow particular trends that can be predicted with a fair degree of accuracy. The title of the book gave birth to the term random walk theory. See also: Efficient markets theory.

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Random Walk Random Walk Theory Random-Walk Hypothesis White Noise			Princeton economics professor Burton Malkiel, author of the best-seller A Random Walk Down Wall Street, notes how much hot money piled into equity funds in early 2000, just as the market was about to peak. WHY YOU SHOULDN'T PANIC by Roben Farzad and Tara Kalwarski / BusinessWeek His best known books include A Random Walk Down Wall Street, now in its 9th edition. Burton G. Malkiel by Bookmarks Yet, as noted by Burton Malkiel, author of A Random Walk Down Wall Street, "For all 25- and 35-year investment periods from 1926 to 2004, investors have always earned positive rates of return. FDR & social insecurity by Hoar, William P. / The New American			501(c)6 504 Corporation 52-Week High 52-Week Low 527 Organization 529 College Savings Plan 529 Plan 529 Prepaid Tuition Plan 8-K 80-10-10 mortgage 80/10/10 and 80/15/5 Loan Plans 800 Portability 800-Number Promotion 9/11 Terrorist Attacks 90-Day Letter A A Classification of Residential Neighborhoods A corto plazo A debito A la par A la vista A largo plazo A lo mejor A paper A Priori Probability A Random Walk Down Wall Street A Rating A vista A vue A-B Split A-Credit A-D A-Network A. Philip Randolph A.G. Becker Paribas A.M. Best and Company A.P. Giannini A/C A/D A1 AA AAA AAA tenant AAA+ Bank AAAA Spot Contract AAII Aandeel Aandeel aan toonder Aanduiding op facturen Aanhangsel Aanklager			a queer fish A Query and Retrieval Information User System a question mark over A Question of Balance A Question of Faith A Question of Honour A Question of Origins A Question of Sport a quick fix A Quick One A Quick Sale Limited a quick study a quid pro quo A quo A R A R A R A R A R Wallace A R Wallace a race against the clock a race against time a race against time clock A Race Called Man A Race Through Dark Places a rake-off A Randolph A Random Thought on the Segregation Cases A Random Walk Down Wall Street a rap across the knuckles a rap on the knuckles a rap over the knuckles a rap sheet a rat fink A Rat in the House Might Eat the Ice Cream A Rat in Tom's House Might Eat Tom's Ice Cream a rat race A Rating A Ratings A ratio A ratio A ratio a raw deal a ray of sunshine A Real American Hero A Real Victorian Leadlight A Real-Time Interface Coprocessor A Realization of Distributed Analysis A Really Nice Person A Recipe for Success, Ltd. A record a red cent a red eye a red herring A Red Indian Thought He Might Eat Tomatoes in Church

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