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Practical Lessons from Larry Swedroe | Why Evidence Beats Market Narratives

Posted January 9, 2025 at 9:45 am

Validea Capital Management

In this episode of “Two Quants and a Financial Planner,” we explore key insights from our previous conversations with Larry Swedroe, one of investing’s most evidence-based thinkers.

  • Through a series of clips, we examine crucial investment principles including:
  • Why all investment decisions should be grounded in evidence rather than narratives or speculation
  • The challenge of market forecasting and why most predictions fail
  • How market valuations have become increasingly bifurcated
  • Understanding and surviving long periods of underperformance
  • The importance of considering your unique risks when building a portfolio
  • Why many investors are too conservative with illiquid investments
  • A data-driven perspective on the future of value investing

Whether you’re a DIY investor or work with an advisor, this episode offers valuable lessons on building resilient portfolios based on academic evidence rather than market narratives.

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Information posted on IBKR Campus that is provided by third-parties does NOT constitute a recommendation that you should contract for the services of that third party. Third-party participants who contribute to IBKR Campus are independent of Interactive Brokers and Interactive Brokers does not make any representations or warranties concerning the services offered, their past or future performance, or the accuracy of the information provided by the third party. Past performance is no guarantee of future results.

This material is from Validea Capital Management and is being posted with its permission. The views expressed in this material are solely those of the author and/or Validea Capital Management and Interactive Brokers is not endorsing or recommending any investment or trading discussed in the material. This material is not and should not be construed as an offer to buy or sell any security. It should not be construed as research or investment advice or a recommendation to buy, sell or hold any security or commodity. This material does not and is not intended to take into account the particular financial conditions, investment objectives or requirements of individual customers. Before acting on this material, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.

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