Efficient Market/Random Walk Joke
Here's my variation on the classic EMH joke:
Two Economics professors are walking back to their offices after giving a lecture on the Random Walk of stock prices.
"Look!" says one of the academics, "There's $1.7 billion dollars!"
"Nonsense!" says the other. "The market efficiency hypothesis states that security prices fully reflect all available information. That money is impossible."
"Schmucks!" laughs Jim Simmons of Renaissance Technologies. He picks up the money and goes back to his office.
You may now return to your previously scheduled belief system.
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Thanks for the link, Barry. Mr. Simons should make the EMH academics distinctly uncomfortable... a very bright guy who has hired some of the best talent out there.
Posted by: David Merkel | Jul 9, 2007 11:00:20 AM
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