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 ::::::: PREFACE :::::::
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In reality this Website resembles a book and as such deserves a preface. The central theme of the work, “Science versus Reality on the New York Stock Exchange,” is outlined on the HOME page and in the ABOUT section on the main menu.

There are 30 pieces in all ranging from 1 to 15 pages in length. The site includes an Investment section and a Miscellaneous section. The Investment section is divided into three parts: (1) an overview that addresses John Maynard Keynes; (2) a defense of the use of quantitative stock selection strategies; (3) a rejoinder to Modern Capital Market Theory – i.e., Portfolio Selection Theory, The Efficient Market Hypothesis and the Capital Asset Pricing Model.

For the most part, I do not tackle the three paradigms of modern finance head on. Rather I attempt to view them through the prism of Keynes’ timeless essay on the stock market. In this regard the key article on the site is “The Defined Future Earnings Model and the Riddle of Perpetual Claims.”

The site’s contents mirror my own interests as an analyst and therefore requires guidance for readers who also have diverse goals and neither the time nor interest in reading every article. Thus, I will make recommendations for just six articles (in addition to the general overview that discusses Keynes’ key role in this undertaking) for those who come to the site from different points of view. Namely: (1) The investment professional; (2) The non-professional investor; and (3) the generalist (investor or otherwise). Without further ado, then, here are my recommendations.

 Investment Professional:

  • Review of Historic Returns for Common Stocks and Corporate Bonds
  • The Defined Future Earnings Model and the Riddle of Perpetual Claims
  • High Growth vs. Cyclical Stocks – Some Important Differences in the Factors Affecting Price Performance.
  • The Conceptual Foundations of Rank Order Selection Models
  • Quantum mechanics and Modern Portfolio Theory
  • Consensus Estimate Revisions and Stock Prices in Declining Markets

Non-professional Investor:
  • Review of Historic Returns on Common Stocks and Corporate Bonds
  • Cycligraphs of Company Earnings and Stock Prices Illustrating Earnings Dominate Influence Over Prices
  • High Growth vs. Cyclical Stocks – Some Important Differences in the Factors Affecting Price Performance.
  • Earnings Estimate Revisions and Earnings Surprises in Relation to Stock Prices
  • Review of Some Statistical Properties of Stock Returns
  • Comment on the Investment Attractiveness of Roth IRA’s
     

Generalist:

  • Cosmic Mischief
  • Perspective on Judicial Independence
  • Reflections on Harriet Miers’ Nomination to the Supreme Court
  • China, Compound Growth and Social Security
  • Guidelines for Deciphering the Medicare Prescription Drug Plan
Finally, it might be noted that five of the pieces are short and principally for the reader’s amusement -- all to be taken with a grain of salt. They include:
  • Evidence That Articles in “The Journal of Finance” (i.e., Financial Rocket Science) Are a Losing
  • Proposition with Corporate America.
  • Two Points of View about Risk and Return in the Long Run – Modigliani vs. Keynes.
  • A Critique of Reagonomics by Paul Samuelson Transformed into an Indictment of DDM/IRR
  • The Problem with Quantitative Stock Selection Strategies
  • Wages on Wall Street vs. Wages for Professors of Finance -- A Case Study in Market Efficiency.

    I’ll let the titles for the other articles speak for themselves.
               

 
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