| Investing in Stocks: Is it Better to be Good or Lucky? and ECB Must Do More to Avert Euro Collapse: Fitch |
| News - Financial News |
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There's an old saying that goes "I'd rather be lucky than good," and nowhere is that quip more relevant than on Wall Street. The truth is, whether you call them falling stars or statistical anomalies, very few money managers - if any - can consistently beat the market.If fact, while John Paulson's reversal of fortune may have been the most widely followed, he was in good company last year, as passive or unmanaged index funds beat 80% of their peers, says Larry Swedroe, author and director of research at Buckingham Asset Management in St. Louis."Past performance has NO predictive value whatsoever," Swedroe argues, playing off the well worn SEC disclaimer that ''past performance is no indication of future results."He says reams of data and studies suggest that stock picking is a very poor strategy for individuals and professionals alike. [Read the full article] Microsoft CEO Steve Ballmer listens during a presentation at the opening Microsoft keynote at the Consumer Electronics Show opening in Las Vegas, January 9, 2012. REUTERS/Rick WilkingWindows 7 logos are on display at Windows 7's Launch Party in New York, October 22, 2009. REUTERS/Shannon StapletonNEW YORK (Reuters) - Microsoft Corp has put its talks with media companies about an online subscription service for TV shows and movies on hold, according to people familiar with the discussions.The technology giant had been in intense talks with potential programming partners for over a year and was hoping to roll out the service in the next few months. But it pulled back after deciding that the licensing costs were too high for the business model Microsoft envisaged, according to these people. [Read the full article] Gold futures rose to a four-weekhigh as China's physical demand surged to a record and Europe'sdebt woes spurred demand for a haven.Mainland China bought 102,779 kilograms, an all-time high,from Hong Kong in November, up from 86,299 kilograms in October,according to the Hong Kong government. Fitch Ratings saidyesterday that Italy faces a "significant chance" of a creditdowngrade. The European Central Bank should boost bond purchasesto stem the debt crisis, Fitch said. Gold prices declined 10percent last month."The dip in prices could not have come at a better timefor the Chinese buyers," James Cordier, the founder ofOptionsellers.com in Tampa, Florida, said in a telephoneinterview. "Gold is regaining its safe-haven qualities."Gold futures for February delivery advanced 0.5 percent to$1,639.70 an ounce at 9:58 a.m. on the Comex in New York.Earlier, the metal reached $1,648, the highest for a most-activecontract since Dec. [Read the full article] 
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