One of the Worst-Used Metrics in the Markets
Investment Myths Busted
It's been almost a month since we changed the rules of this newsletter. We decided that most of our articles would be exclusively for paying subscribers.
Undoubtedly, it's one of the best decisions we've made in a long time. Not just financially, but it also gives us much more flexibility to share investment strategies in a much more personalized way.
Today, we want to share with you one of the most poorly used metrics in the world of investment.
It's one of those metrics that major economic newspapers use as a criterion to sell, but it has been proven to have little to do with reality.
In fact, investors who would have followed this strategy in the IBEX35 (the 35 largest companies in Spain) since 2008 would currently be losing 85% of their portfolio.