Posted May 10, 2024 by Ben Carlson

I saw nan pursuing header earlier this week:

I didn’t moreover request to publication nan actual article to cognize what nan connection would be. The show present was nan word ‘veteran forecaster’.

In finance-speak, seasoned forecaster tin beryllium translated to mean personification who is supremely assured successful their predictions but almost ever wrong.

It has to beryllium this measurement because forecasters are truthful unreliable. Yet nan financial media loves certainty truthful they support bringing them backmost connected again and again. Certainty sells amended than nuance.

That’s nan game.

There are plentifulness of different Wall Street position that person their ain translations.

Here are immoderate of my favorites (as translated by nan squad astatine A Wealth of Common Sense):

I’m cautiously optimistic.

Translation: I person nary thought what’s going to happen.

We’re constructive connected nan banal market.

Translation: I wanted to opportunity bullish but this is simply a measurement to some sound smart and hedge astatine nan aforesaid clip conscionable successful lawsuit I’m wrong.

It’s trading astatine adjacent value.

Translation: I person nary thought what this point is worthy truthful hopefully nan marketplace does.

We’re a boutique finance firm.

Translation: We’re mini and don’t negociate very overmuch money but we’d for illustration to beryllium bigger. Please springiness america money.

It’s a proprietary trading system.

Translation: Everyone other connected Wall Street uses this aforesaid exemplary but calls it thing different.

This is simply a bubble. 

Translation: I’m not invested successful that plus that went up a lot.

We’re nan smart money.

Translation: We salary ridiculously precocious fees for “sophisticated” finance products.

You’re being paid to hold successful this stock.

Translation: The dividend output is precocious for a reason. The banal stinks.

This plus has an asymmetric consequence payoff.

Translation: I’ve publication The Big Short two-and-a-half times…okay I watched nan movie once.

The easy money has been made.

Translation: I didn’t make immoderate of it.

We’ll springiness you each of nan upside without immoderate of nan downside.

Translation: This strategy is either going to rustle up successful spectacular manner aliases get smoked during nan adjacent bull market.

Sell successful May and spell away.

Translation: My investigation process relies exclusively connected rhyming. I besides bargain erstwhile prices are high.

Wall Street guru.

Translation: This feline wears a front tie.

We for illustration to gauge capacity complete a afloat marketplace cycle.

Translation: We are massively underperforming.

I’m not wrong, conscionable early.

Translation: I’m incorrect but don’t deliberation I won’t move nan goalposts if I enactment wrong.

It’s a Ponzi scheme.

Translation: I disagree pinch that point but don’t really cognize what a Ponzi strategy really is.

They predicted nan 2008 financial crisis. Here’s why they opportunity nan adjacent 1 will beryllium moreover bigger!

Translation: They besides predicted a situation successful 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2016, etc. They sewage lucky, were “right” once, and person lived disconnected that telephone ever since.

I’m a contrarian.

Translation: Just for illustration everyone other successful finance.

We’re waiting for nan particulate to settle.

Translation: We get fearful erstwhile others are fearful.

Michael and I said astir Wall Street translations and overmuch much connected this week’s Animal Spirits video:

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Further Reading:
Unfortunate Realities of nan Investment Business

Now here’s what I’ve been reference lately:

  • The emergence of nan everlastingly renter people (Of Dollars & Data)
  • Getting nostalgic for a clip we ne'er knew (After Babel)
  • How to build affordable lodging successful America (Our Built Environment)
  • Is being bully pinch money making you miserable? (Money pinch Katie)
  • Fool’s errand (The Better Letter)

Books:

  • Losing nan Signal by Jacquie McNish and Sean Silcoff