January 13, 2018

Brace for negative returns in 2018

Predicting stock markets is a futile exercise. You only need to compare historical predictions versus actual market movements to come to this conclusion. When bulge bracket investment banks and powerhouse economists with their multi-factor models of staggering complexity get them wrong more often than right, should the rest of us even bother trying to predict markets?

No, we shouldn’t. At least not to time entries and exits.

The exercise:

To use three readily available NIFTY valuation metrics (Price-Earnings, Price-Book, Dividend Yield) to “predict” 2018 NIFTY returns

Read more at https://thecalminvestor.com/nifty-prediction-2018/

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