Mid Morning

I’ve never understood the concept of window dressing or more correctly how anyone can get away with it, assuming it actually goes on.

A manager this quarter who bottom fished at the wrong time in financials and made a big bet on Ford (F) and GM is going to have horrible numbers for the quarter. When the results are reported to clients and they show a 10% lag (just to make up a number) for the quarter with no financials and no autos I think an investor might be more concerned.

“How did you do so badly with energy and materials?” Is there never that kind of questioning? My hunch is that it would be easier to explain a bad result by explaining what went wrong with the parts of the market that were doing poorly.

Maybe it does go on but perhaps that extent to which it occurs is overstated.

2 Comments

  1. Perhaps the people who are clever enough to ask questions are not stupid enough to invest in window-dressing funds?

    Reply
  2. I’d put “window dressing” up there with “evening up” and “profit taking” as amorphous market terms they just throw out there but really give no thought to. I never understood that concept either; your returns are your returns.

    Reply

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Mid Morning

I’ve never understood the concept of window dressing or more correctly how anyone can get away with it, assuming it actually goes on.

A manager this quarter who bottom fished at the wrong time in financials and made a big bet on Ford (F) and GM is going to have horrible numbers for the quarter. When the results are reported to clients and they show a 10% lag (just to make up a number) for the quarter with no financials and no autos I think an investor might be more concerned.

“How did you do so badly with energy and materials?” Is there never that kind of questioning? My hunch is that it would be easier to explain a bad result by explaining what went wrong with the parts of the market that were doing poorly.

Maybe it does go on but perhaps that extent to which it occurs is overstated.

Submit a Comment

Your email address will not be published.

WP-SpamFree by Pole Position Marketing