Winning at Active Management Quotes

“Assets are not inherently tangible or physical. An asset is an economic quantum. It may be attached to or represented by some physical object, or it may not. One of the common mistakes we all tend to make is that of attributing too much significance to the molecular concept of property. A”
― William W. Priest, Winning at Active Management: The Essential Roles of Culture, Philosophy, and Technology

“Alcohol served here: because no good story ever started with a salad!” The “alcohol” fueling today’s market is QE. By”
― William W. Priest, Winning at Active Management: The Essential Roles of Culture, Philosophy, and Technology

“Nevertheless, some analysts on the sell-side have justified Tesla’s valuation. We recently observed a televised analyst say “when Tesla is earning $25 a share. …” That estimate, presumably at some point in the future, is used as an anchor for a target price as the stock shifts into a “concept holding.” The”
― William W. Priest, Winning at Active Management: The Essential Roles of Culture, Philosophy, and Technology

“The most important lesson here is that what is tolerable risk for a company may well be intolerable for a nation. This is particularly true in banking. There is no real economy if the financial economy fails. As elaborated by Posner, “The risk to the nation is not the bankruptcy of a single major bank but the collapse of the banking industry, precipitating a financial crisis that can bring on a depression.” The”
― William W. Priest, Winning at Active Management: The Essential Roles of Culture, Philosophy, and Technology

“The key architects of the nation’s economic policy in the Clinton era (Greenspan, Rubin, and Summers) allowed the build-up of forces that would eventually blow the housing and banking industries sky-high. These forces were then multiplied by the reckless fiscal policy of the Bush Administration that enlarged the size of the national debt and set the stage for an economic train wreck.”
― William W. Priest, Winning at Active Management: The Essential Roles of Culture, Philosophy, and Technology

“What’s more, our government’s responses were late, slow, indecisive and almost impossible to understand. Perhaps the worst outcome so far is the rise of “moral hazard.” When risky behavior is insured against the consequences of its failure, that is considered moral hazard. If performed on a broad enough scale, it can be catastrophic for a nation.”
― William W. Priest, Winning at Active Management: The Essential Roles of Culture, Philosophy, and Technology

“The NTSB operates with small, experienced teams, and each of its reports is approved by a senior board of five, creating a culture of accountability, collaboration, empowerment and pride. Among”
― William W. Priest, Winning at Active Management: The Essential Roles of Culture, Philosophy, and Technology