LordFaquaad

LordFaquaad t1_j3rzq86 wrote

You're telling me that every major investor is just luck? It had nothing to do with skill, knowledge and understanding?

Also the efficient market states that prices are representative of assets. This is simply not true in the current market. The market isn't a casino that has priced in everything all thr time. The companies have Financials and based on those Financials and other factors, investors make decisions.

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LordFaquaad t1_j3rqk9v wrote

The difference is that roulette is a game of chance and investing in good companies isn't. That's the entire thesis behind value investing which buffett followed. The luck he talks about is getting in at the right time and exiting at the right time.

Speculation happens in the market but the only people that really benefit are the HFT traders, hedge funds and quantfunds / banks due to the trade volume/ speed of transaction. The market isn't based so much on chance as people think especially if you have enough money to move the direction of the stock

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LordFaquaad t1_iy4rlp4 wrote

Lol collude on billing rates. These firms absolutely compete with one another. It's some of the most competitive behavior I've seen in any industry.

The government does not protect them. Please read up on the PCAOB. No one is forcing their clients to work with them. Clients can always choose to change firms. Idk what you're talking about.

Also they're not really an ogilopolu since firms like GT and RSM also have large assurance practices

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