The gut-feel of the 55-year old trader is more important than the mathematical elegance of the 25-year old genius.
ALAN GREENSPANThe economy is turning, and credit comes in with a lag, .. To the extent that a number of small firms are finding it difficult to get the credit they need at a price they can afford, that’s likely to change for the better.
More Alan Greenspan Quotes
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But rules cannot substitute for character.
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Regulation of derivatives transactions that are privately negotiated by professionals is unnecessary.
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By far the most significant event in finance during the past decade has been the extraordinary development and expansion of financial derivatives.
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Derivatives have permitted the unbundling of financial risks.
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We are in the midst of a once-in-a-century credit tsunami. Central banks and governments are being required to take unprecedented measures.
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Enhances a person’s ability to handle the more ambiguous and qualitative relationships that dominate our day-to-day financial decision-making
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No one has ever eliminated any of that stuff.
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The problem is not lack of regulation but unrealistic expectations. What we confront in reality is uncertainty, some of it frighteningly so…
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I’m not denying that monopolies are terrible things, but I am denying that it is readily easy to resolve them through legislation of that nature.
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I’m always amazed that my wife can handle different subjects – one day politics, the next day foreign policy.
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I believe that the general growth in large [financial] institutions have occurred in the context of an underlying structure of markets in which many of the larger risks are dramatically — I should say, fully — hedged.
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We can see that in the inverse relationship exhibited by price/earnings ratios and the rate of inflation in the past.
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The recent evidence increasingly suggests that an economic expansion is already well under way, although an array of influences unique to this business cycle seems likely to moderate its speed.
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I have found no greater satisfaction than achieving success through honest dealing and strict adherence to the view that, for you to gain, those you deal with should gain as well.
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If you think you understand what I am saying you do not understand what I am saying.
ALAN GREENSPAN