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I hope Meb sent her dandelion chocolates as a thank you for a wonderful interview.

As far as the US debt it is the US govt vs compound interest.Which will win? I’m going with compound interest.

After the first sentence he had me.I don’t know who this guy is but he is talking sense.

while home runs are a driver of long term returns, large cap, profitable companies purchased at valuations below long term averages generally provide a "good" return. Whether it beats the S&P500 index is another question. You will beat after tax returns on treasuries/bonds. You need 50-100 stocks to achieve the diversification. Ideally you also pay attention to the businesses of these 50-100 companies to identify relatively early the specific risk of that company/industry to be aware and prune that portfolio. Dividends are told to be tax inefficient as a mgmt capital strategy as they are "double taxed". Well, the market will reprice the security for companies pursuing this strategy and the investor can still buy at an efficient price for these dividend yielding stocks. Dividends do mitigate volatility risk. That is the way to buy and hold.

Super interesting! Thank you!

Where can we get Cambria swag Meb?

When the dollar is no longer recognised as the global exchange currency and comparison. You’ll soon find out its true value…. It’s just exporting inflation across the world at the moment.

I think his finding is important. But, I think it has less practical impact than one might originally think. For example, if you get rid of small cap growth with weak profitability from the sample you will find a lot less donuts. This is a very easy thing to do and it makes it substantially easier to build reasonable portfolios.

Most people definitely don’t realize that the majority of stocks lose money or gain less than a bank account would. It is very important to know what you are doing before making a large investment just like you would want to learn to operate a helicopter before flying one. It also makes it important to diversify, specially as a beginner yet most beginners have very concentrated portfolios.

Thank you Sam

He sucks. Learn some macro

Sounds like you lifted that right from Howard Marks' recent podcast. It's a good guideline; should cite reference.

…don’t talk about clean energy. I want it to get cheaper.

Doesn't the t-stat of years vary by the amount of alpha tested? For example, a t-stat to prove statistical significance of a 50 bp annual alpha would be much longer than a t-stat to prove significance of 500 bp? So the lower alpha you test for the more significant the time period to prove it? I want French to sick to the 500 bp of annual alpha and give us the relevant time period. My guess is much shorter than 64 years. In other words, there should be an inverse relationship between the amount of alpha measured and the time period needed to establish statistical significance.

Small cap silver and uranium miners!

The catalyst that caused the tech bubble to pop was Bill Clinton's balanced budged. All it took was one domino to start the chain, and having fiscal flows into the economy dry up was a rather large domino.

She’s awfully hard to listen to

No shit. The charts clearly show they are continuously hitting all time highs… Jesus

i think she forgets who brings earnings, top caps are expensive but WHY? Because they bring the money...PERIOD.. btw I have deep value ETF in my portfolio and I am ready to rebalance it, only if doubles its representation from its lowest representation, never happened. she can't say why tech bubble popped? c'mon, it popped since there was no earnings...Earnings are everything

That’s why I sell covered calls on undervalued companies ex. Sofi

lets keep investing i corps that rob us blind bc they pay well

Has anyone published a recent retrospective analysis of the accuracy of GMO's 7-Year Asset Class Forecasts? I know they've been making these public since well before the GFC, so that'd be interesting to see.

What's the catalyst to drive 'deep value' equities toward 'fair value' in a world where active stock pickers are becoming less relevant market participants as funds (that would have historically been invested based on results of value-oriented security analysis) increasingly flow blindly into Mega Cap via passive index investments?

real investors see the long term potential of $ORGN - Origin Materials

God this advice is horrible. This is not the time to go long, this is actually the time to go short. Might be a tad early. What we are really waiting for is the 3 month / 10 year yield curve. DO NOT LISTEN TO THIS GARBAGE.

Im sick of these kinds of humans

Love her insights

"deep value" vs "shallow value" - I would've liked to hear how each of those segments are defined, and some examples of each.

Wow! That was fantastic. Catherine is one, very smart, person. Great repartee!

I am now dumber because of what these dudes said.

Faber dresses like a clown

Great discussion; thank you both for this

Digging that hat Faber.

What an amazing interview. K. French is an extremely sharp guy.

Meb this is absolutely true. I've been telling people about the BS in the "ten best days" lie. But it keeps coming back. Thank you!!!

No! You want millions to give 1000 so the .1% can get your collective power

Lol2. Thanks for that info. Unsubscribe and never listen again. What a horrible idea

How about instead of asking Uncle Sam to hand you free money when you’re born, your parents invest money so that you can have a nest egg later in life? What a novel idea for parents to actually look out for the well-being of their kids 😱

People dont have an issue because "stockholders are rich and we dont line that" the issue has become that stockholder wealth has become more important than even the general welfare of the American people. People cannot afford basic neccesities and stockholders are the only ones who continue to have economic gains

So no coffee can portfolios?

I wonder if French has read any of the Swagger Mark Wizard books; he's always referring to Simon as if he's the only one he knows. What about Paul Tudor Jones? What about Druckenmiller? What about Dalio? But as French said, "my view of the way the world works is totally inconsistent with the way most active investors think about."

Al Borland 🙌

I like Cambria.

Great interview....mature perspective...thank you....

Pretty rich for Adam to act like he cares about people saving when this year, the Yotta app was turned into a full-on gambling app where you can lose your money as fast as in any casino.

Amazing guest . Thank you.

Dang she was right

AUM is 2.4B as of Apr 2024

If it takes 64 data points (annual returns) to be statistically significant, then this is another argument that favors indexing. Don't try to find the needle in the haystack to buy, just buy the haystack.

I wrote 23 years - thnx for the great discussion!