Ses 19: Efficient Markets II

MIT 15.401 Finance Theory I, Fall 2008
View the complete course: ocw.mit.edu/15-401F08
Instructor: Andrew Lo
License: Creative Commons BY-NC-SA
More information at ocw.mit.edu/terms
More courses at ocw.mit.edu

[@EloyVeit]

Me watching this in 2023 while writing my master thesis about Portfoliomanagement. The quality of this course is unbelievable. Thank you for sharing you’re knowledge for free.

[@Whyitis268]

I agree. Good luck with your master thesis.

[@94sl]

This lecture deserves way more views than it has. Thank you Andrew Lo!

[@LECityLECLEC]

Towards 24:00 this is way better than a TED talk. I hope and pray for the day all Andrew Lo lectures become publicly available! -

[@LECityLECLEC]

@1:00:00 don’t skip his neuroscience talk is pure genius. A gift from God!

[@chilling00000]

It's been 10 years now, did anyone write to Prof. Lo?

[@nicolasrodrigo9]

Check his Twitter!

[@beelee1394]

15 years now

[@JK-sy4ym]

can't find a better prof in this course

[@NeedsEvidence]

Eloquent lecturer, comfortable to listen, nice tie.

[@No_BS_policy]

Man I really wanna pursue a PhD in Econ. under Prof. Lo. Truly a master of financial economics.

[@faridqnoproblem]

i can literally feel myself growing 3x smarter from listening to this guy haha

[@TheYi1985]

Me too!

[@newyorksharp]

Zeris & Co, PC Certified Public Accountant This professor is top notch!!! I'm starting MBA at William & Mary Williamsburg, Va in Jan. Great job!!!!!

[@RaylinRecords]

So we are now in the 15-20%. The pandemic has considerably shown the truth about the relationship between the midbrain and neocortex. In March in the US, the stock market drastically fell below levels not seen since 2008. Since, it has risen, but now there is uncertainty in the election and stimulus package, and thus the market has been going down for the past three weeks. There has been a downward slope since October after stimulus ended. With over 19million unemployed people are suffering and in pain, which makes the markets act irrationally. The market has been very volatile ever since the huge drop in March 2020. Andrew Lo is a great professor, and it's interesting to see this hypothesis happening in real time.

[@chuanqisun]

It's important to call out this lecture took place before the book Thinking, Fast and Slow, brought our cognitive biases into the eyes of the public. So many remarkable insights here.

[@taimalik1110]

insanely amazing lecture in the middle about that Eliot guy!

[@Shauracool123]

It means that if you like white pasta more than red pasta then you are more evolved

[@willjennings7191]

Andrew Lo, you waited twenty sessions before you used the phrase 'zen sufi master', but I now know where you're getting your theology from. Great course, very listenable.

[@tomcen]

..I actually enjoy listening to him.

[@angelbaby.7897]

My favorite episode so far, thanks Mr.Lo :D

[@rongyinqin516]

very good especially the speaking

[@jaimealzatejr1807]

Wow, thank you so much for this lecture. I have so may 'aha moments' watching this.

[@chennareddykrishnapranayre2259]

Ive just made a new playlist name 'Aha' after watching this video!

[@Ejb2460]

Great lecture. Thank you.

[@michaelzhang154]

Can not be better! Thanks!

[@labmq]

Thank you, Mr. Lo!

[@alfredyim3115]

really great

[@sadikiabel5513]

Waooo helping me to learn alot thanku for the good classes

[@ibraheemmoosa]

Never thought I would hear "Pornography" and "Nazi Concentration Camp" on the same sentence!

[@ArtMaknev]

You guys ready for final exam on Monday?

[@ytc7644]

i like this professor!

[@n3rdsdiscussinglife464]

Overall I loved this lectures series, the lecturer was brilliant, very interesting and easy to listen to

[@ApiolJoe]

Word of caution about the bits on triune brain model: en.wikipedia.org/wiki/Triune_brain This theory has been out of the scientific world for quite some time, and only marginally accepted by very few researchers. To be more blunt, it's about as serious as water memory. Very popular stuff but only among the people who don't know much about the field...

[@MithunKannan23]

Can someone explain how Urn A & B are mathematically the same?

[@suppandi1000]

Let's say there are p red balls in urn B. Your expected returns are (1/2)*(p/100)*10000 + (1/2)*(100-p/100)*10000, the 1/2 being the probability of you choosing red and black respectively. This gives the result as 5000

[@carlosdanielcruzconceicao9251]

The balls in the urn example sounds a lot like schröedingers’ cat

[@arrowb3408]

Hey,the young Prof. Andrew: about the intriguing the level of excitement to the brain that you felt happiness with a candy and shared with your sonny, of course for you it tasted not that kind happy for you at all when you aged. But this specific candy will have another meanings for him to remember the time you both together. Hahaha, BTW even if you rode on any roller coaster, the ultimate thrilling feelings are the first, then no big deal at all when you take third time. For me I counted how many twists and turns for 2.5 mins of the ride on my third ride. It's all contributed to the brain... Hahaha, so as the substance abuse...STF

[@nnicola78]

love makes you stupid! ..oh so true!

[@herp_derpingson]

Frontal lobe damage causes depression?

[@kraj2217]

2020 enters chat!

[@Xiaosage127]

Wow I really hope Prof Lo can see where SPY is rn in 2021 lol

[@hl3641]

Prof. Lo class worth ab 7.5 millions judging from reality from 2022 … lol

[@aronhakansson9289]

Predicted at least one billionaire in 15 years. Now 13 years has past....

[@hl3641]

Wow…

[@MrBTie]

21:40 ROFLOL

[@xxyyzz8464]

Only 72k view on the last one. lol

[@devendraagarwal3958]

know)