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My Musings On Investment Bubbles

Photo by Diana Orey on Unsplash

I’ve been thinking a lot about bubbles and the big change in my framework (which is still evolving) for analyzing them is around illiquidity.

Illiquidity is, in my opinion, a necessary characteristic for an asset bubble — it causes the market imbalances that drive an asset’s price (and optimism about it) to incredibly unrealistic heights and it’s also what ultimately causes it to crash and burn. I lay out…

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Tony Yiu

Tony Yiu

94K Followers

Data scientist. Founder Alpha Beta Blog. Doing my best to explain the complex in plain English. Support my writing: https://tonester524.medium.com/membership