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Oct222008

Wednesday, October 22, 2008

Analysts are rubbish

Seemingly everyone, on both sides of the Atlantic, is now taking about recession. Even Mervyn King. So why, asks SocGen’s James Montier in his latest issue of Mind Matters, is the investment research industry still predicting earnings growth of between 12 and 15 per cent?

He’s got a chart to illustrate that analysts are exceptionally good at one thing and one thing alone - telling you what has just happened.

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