Conversation

Cedric Chin
@ejames_c
This is the thing that bothers me the most about Aswath Damodaran’s recent Invest Like The Best podcast episode. He be like “you can ignore macro and just focus on business quality if you think the world is fundamentally mean reverting. But would it be so, in the future?”
Quote Tweet
Lillian Li
@lillianmli
Your responses are very helpful in giving me a fuller picture btw, so thanks. I still think the deep assumptions for value investment are that the world is mean reverting and steady state progression. Haven’t read too much about when we don’t carry those assumptions anymore.
Show this thread
1
6
Cedric Chin
@ejames_c
I buy the argument, and I buy the premises, but asking me to imagine a world that isn’t mean reverting and my mind instantly goes to WW2, and the transitional period between the world order before and the world order after. It is, frankly, terrifying.
4
4