I’ve posted Podcast #187 to the “RobCasts” section of the site. It’s called Volatility Adds Nothing.
Volatility is what makes stocks risky. An earlier podcast argued that Volatility is Optional– we could do away with it by educating investors about the realities of stock investing, But wait! Buy-and-Hold advocates argue that stocks pay high returns only because buying them means taking on big risks. If we do away with volatility, will we be doing away with high returns too? I don’t think so.