Warren Buffett warns that ‘the sophisticated have an advantage over the innocent’ in investing, but reveals how even retail can beat Wall Street
One of Warren Buffett’s most underrated observations about markets comes uncomfortably close to the truth. While analyzing how stock prices move relative to intrinsic value, he noted in his 1996 letter to shareholders that when stocks move among investors, “generally, the sophisticated have the advantage over the innocent in this game.” It was not a…