2013’s Best of Wall Street Myth Busting
Last week, we began looking back at some of the most popular – and most hated – Wall Street Daily articles of the year.
Now I’d like to focus on one last top five category…
As you know, one theme I often cover at Wall Street Daily is busting Wall Street’s most widely accepted (and inaccurate) wisdom.
So without further ado, here are the top five myths I busted this year…
Myth #5 Never Stood a Chance:
Will the Real Unemployment Rate Please Stand Up?
Governments like to paint an overly rosy picture whenever possible. And when it comes to reporting the “official” unemployment rate (known as U-3 unemployment), that’s exactly what they do. Luckily, we’re here to set things straight.
Myth #4 Verified? Say it isn’t So!:
Is This the Most Reliable Stock Market Indicator EVER?
I’m sure you’ve heard the market adage, “As the S&P 500 goes in January, so goes the year.” Well, this year we witnessed the strongest January rally since 1997. So I took some time to see if the myth held any merit…
Myth #3 Didn’t Even Put Up a Fight:
The Shocking Truth About Insider Selling
Many investors believe that corporate insiders possess superhuman investing skills. And since 2009, every time insider selling ramps up, the mainstream financial headlines predictably urge caution. Based on the data I uncovered, however, insiders could be the most unreliable stock market indicator of all time.
Myth #2 is Finally Dead and Buried:
The Biggest Myth About Taxes
Think taxes don’t influence behavior? Think again! When the 2% Social Security payroll tax holiday ended in January, it had a profound impact on both consumers and companies alike. As a result, I urged readers to practice caution when investing in any sectors that could be jeopardized by unexpected and significant tax increases.
Myth #1 is Finished Screwing Investors:
Fire Your Broker if He Recommends This Old-School Investment
For almost half a century, Wall Street has been telling us a whopper. Specifically, that a so-called “balanced” portfolio – 60% in stocks and 40% in bonds – is an ideal way to stay invested in the stock market while reducing risk. And like lambs to the slaughter, countless Americans have allocated their assets accordingly. If you read this article back in January, you know that’s a huge mistake.
Well, that concludes our rundown of the most talked-about Wall Street Daily articles of the year.
If you can think of any other myths we busted that should have made it into our top five today, let us know by commenting below.
Ahead of the tape,