The essence of insurance marketing
Marketing is a philosophy of the underwriter, determining the strategy and tactics of his activities in the conditions terms of competition. Marketing simultaneously combines market research, new product development, distribution, advertising, promotion, product improvement and so on.
In the previous chapters, we argued that behavioural considerations can contribute to an understanding of certain anomalies in the pricing of individual stocks as well as in the aggregate value of the stock market.
Having concluded in the previous chapter that behavioural factors, to a large extent, can help us account for cross-sectional anomalies and aggregate stock market puzzles time has come to look into some of the most famous financial bubbles.
Historical Rates of Return Background and Market Institutions
The subject of investments is so interesting that I first want to give you a quick tour, instead of laying all the foundations first and showing you the evidence later. I will give you a glimpse of the world of historical returns on the three main asset classes of stocks, bonds, and 'cash," so that you can visualize the main patterns that matter—patterns of risk, reward, and co variation.
This chapter also describes a number of important institutions that allow investors to trade equities.
Investing in the stock market can be financially rewarding. It can also be risky. A basic understanding of stocks is vital if an individual hopes to successfully navigate the complexities of investing.