Howard Marks: Why Risk Is Perverse

Johnny HopkinsHoward Marks, Risk ManagementLeave a Comment

Risk is often misunderstood, not because it is complicated, but because it defies intuition. As Howard Marks explains in his discussion on the character of risk, “risk is counterintuitive” and “risk is perverse.” The way we perceive risk can often be the exact opposite of reality, leading investors, policymakers, and … Read More

Howard Marks: When Investors Are Practicing Suspension Of Disbelief, It’s Dangerous

Johnny HopkinsFinance and InvestingLeave a Comment

During this interview with Real Vision, Howard Marks discusses the risks of excessive optimism in financial markets, emphasizing how imprudent behavior drives prices too high based on overly favorable expectations, creating a risky environment. He recounts the distressed debt opportunities in 2002 following the telecom meltdown and scandals, which presented … Read More