Understanding Stock Markets

This post is not going to help you get rich off the stock market. If that’s what you’re looking for, the best advice I have for you is to understand your desire makes you a mark and study up on scams of various sorts. That’s fun to do anyway, and I don’t understand why cons aren’t a bigger part of true-crime publishing, and you’ve probably moved on already because you think I just insulted you.

Photo of a graph in a newspaper. Graph shows a year of Dow Jones Industrial Index values.
Photo by Markus Spiske

This post exists because most financial education in the U.S. is a sales pitch, either directly or for a particular school of economics. I came at the stock market as a pension analyst whose job it was to understand the assumptions inherent in funding pensions. Also as someone who finds the history of fraud fascinating, but you may have picked that up. I did this work in the post-Enron regulatory environment in the U.S. and through the collapse of housing bubble plus a few years. This is where I ended up on funding retirement.

This post exists to give you a basic framework for understanding investing events and scandals. Consider it a skeptical but not cynical high-level guide to (mostly U.S.) stock markets. Continue reading “Understanding Stock Markets”

Understanding Stock Markets