Junk bonds prove there's nothing magical in a Aaa bond rating.

Junk bonds prove there's nothing magical in a Aaa bond rating.

You only need to make one big score in finance to be a hero forever.

I favour passive investing for most investors, because markets are amazingly successful devices for incorporating information into stock prices.

Everyone recognizes that's a joke because obviously the number and shape of the pieces doesn't affect the size of the pizza. And similarly, the stocks, bonds, warrants, etc., issued don't affect the aggregate value of the firm.

Most people might just as well buy a share of the whole market, which pools all the information, than delude themselves into thinking they know something the market doesn't.

Arbitrage proof has since been widely used throughout finance and economics.