Value Investing

Who Is Mr. Market?

First coined by Benjamin Graham, “Mr. Market” represents a hypothetical investor that is prone to sharp mood swings of fear, apathy, and euphoria. “Mr. Market” represents the consequences of emotionally reacting to the stock market, rather than rationally or with fundamental analysis. As an archetype for her behavior, “Mr. Market” speaks to the price fluctuations inherent in markets, and the emotions that can influence these on extreme scales, such as greed and fear.

Leave a Reply

Your email address will not be published. Required fields are marked *