Fake News

It’s always been with us…since the dawn of man.

But I have to say the business news industry must have been the first to create fake news!

Business news is mostly subjective, biased, and error ridden and the real news, the news liberal elites have been complaining about most in the last two weeks; since the US election, is essentially the same thing…just that business news has been faking it longer.

Financial news has been faked for the last twenty some years. Want an example, what about this whole Buy/Hold/Sell thing? “Goldman raises the shares of General Electric to a ‘Buy’.” What does this really mean? Is this news? Is it actionable? Is it serving the public good? Or is it an Goldman analyst having a meeting with the top brass of GE the next day and wanted a favorable meeting. Are they’re looking for a piece of GE’s investment banking business and somehow this fake rating change signals a positive business story to all stakeholders and a business media audience.

And the most useless of all the explanations, the so-called expert explanation of why the market went up or down on a particular day. Wow, have you ever heard a so-called expert say; “Yes, the market went down today, but it really didn’t mean anything!”

And I can safely predict in the next quarter, 400 of the 500 S&P 500 companies will beat earnings expectations by a penny, to great fanfare. Really, is this meaningful? Are company managements proffering to the fake news as well? And after the initial seconds of their news release and flurry of activity in a company’s stock price, one has to ask does this penny ‘beat’ mean anything at all?

So ‘everyday news’ seems to catching up to business news in terms of being irrelevant and the elites are pissed. They had control, they paid each other homage and speaking fees and the grand circle-jerk would go round and round.

But this US presidential election seems to have did something. The elites that I have been listening to, in the past, don’t seem credible anymore. And the three newspapers that I subscribe to the “New York Times,” “The Financial Times,” and the “Wall Street Journal” now seem tainted to me. They are now ‘out of step’ and angry that Trump is using Twitter to communicate his message and not through the media behemoths that had a monopoly, that could filter a president’s message and shade the corners so that the message could be colored liberal or conservative for public distribution. These once mighty news organizations have been reduced to recopying Trump’s tweets! Really, why not go on Twitter and here from the man himself…he has close to 17 million followers as I write this. Isn’t this the future…a President using social media? A President who can speak directly to his following even at 3 in the morning! And what will newspapers do…print out his Tweets some 24 to 48 hours later? Showing again how much further behind the curve they really are.

But I digress…

Do you want something that is objective at least in the business news area?

Black and white!

I can’t help you in the regular news but I can with business news.


Model Price app

See it’s math based. Objective. And gives you actionable buy/sell/hold analysis that can help your net worth and because wealthy people live longer than the poor, this app can actually extend your life!

See most of the time, stock prices move up and down…this we all know. And most of the time it can be a meaningless activity. After all, as the great J.P. Morgan once said stock prices do ‘fluctuate.’ And this makes sense according to Model Price Theory (MPT) because stock prices can and will fluctuate between our EBV zones. And they can do this for years on end.

But sometimes there are transits – both positive and negative. Where stock prices can cross our EBV lines and with this event the market is communicating to you that a change in fundamentals has either occurred or will occur in the future.

This app does something that no other finance analysis does, place two independent sources of information on one chart or interface. Most if not all financial analysis is statistical or regression based. In order words if the past holds true then this should happen in the future. But regression analysis doesn’t make investors the BIG money from my experience. We need a different way, a different way of thinking about security analysis to make BIG money – we need Model Price!

So stop reading the business news. Stop looking at your financial channel looking for answers. It isn’t there!

Fake news is all around us now, and a way of life and we all have to be careful in what we look at or read. The elites and traditional media news purveyors are upset about Mr. Trump’s victory and are predicting disaster everyday.

But as I’m writing this our Model Price app, our math, is saying something else.

One response to “Fake News

  1. cobbiangra December 8, 2016 at 2:02 pm

    Thanks Brian, at least I can read and comprehend most of what you write good sir. Without people like yourself putting out your comprehension of world business, we are at the mercy of every scam artist and persons with their own agenda. After all its all about the greed. Please keep your articles coming so we at least get a perspective on reality. Thanks again. …Ian

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