A Wendy’s Wednesday Whimsy
Continuing to explore some of the questions I raised in my post-EBI Conference post, Questioning … Processing … Evidence-Based Investing, today I’ll touch on another question I posed, but left unanswered:
When describing investing to the general public, is it better to go with terminology that is more accurate or more familiar?
To be honest, I’m still not sure I have an easy answer.
Clearly, the term evidence-based investing is more accurate. It’s closer to the essence of how most advisors with whom I collaborate are serving their investor clients.
After all, if the best available evidence suggested that stock-picking skills and market-timing reflexes generated true alpha over time and after costs … that’s what we’d be doing. Some might call that “active,” but the justification would still be evidence-based. Continue reading “Wise Wording: More Accurate or More Approachable?”