Ticker Tape, Schmicker Tape (Part 1)

This commentary is called the “Global Market Update,” but you may have noticed that we don’t do much discussion of daily price movements in stocks and bonds. Many people wonder why.

First, we don’t think that daily price changes are particularly helpful. There aren’t many investors out there who need to know if GE went up and eighth, or Johnson & Johnson down a quarter. That kind of daily blather just adds to the noise pollution on the airwaves.

Second, short-term speculation has been part of the problem with capital markets today. Citigroup’s former CEO Charles Prince is famous for saying that “while the music is playing, you have to dance.” This drive for quarterly performance has led many corporations into financially and morally suspect transactions.

Investing is a deliberate process that requires thoughtful analysis and careful reflection. Repeating the daily market noise is no better than reading off the daily horse-racing handicap sheet.

Douglas R. Tengdin, CFA
Chief Investment Officer
Leave a comment if you have any questions—I read them all!

Follow me on Twitter @GlobalMarketUpd

direct: 603-252-6509
reception: 603-224-1350

www.chartertrust.com • www.moneybasicsradio.com www.globalmarketupdate.net
By |2014-09-03T18:12:27+00:00April 17th, 2008|Global Market Update|0 Comments

About the Author:

Mr. Tengdin is the Chief Investment Officer at Charter Trust Company and author of “The Global Market Update”. The audio version of each post can be heard on radio stations throughout New England every weekday. Mr. Tengdin graduated from Dartmouth College, Magna Cum Laude. He received his Master of Arts from Trinity Divinity School, Magna Cum Laude and received his Chartered Financial Analyst (CFA) designation in 1992. Mr. Tengdin has been managing investment portfolios for over 30 years, working for Bank of Boston, State Street Global Advisors, Citibank – Tunisia, and Banknorth Group. Throughout his career, Mr. Tengdin has emphasized helping clients manage their financial risks in difficult environments where they can profit from investing in diverse assets in diverse settings. - Leave a comment if you have any questions—I read them all! - And Follow me on Twitter @GlobalMarketUpd

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