My entry on November 13, 2008 registers that Prof. Hamilton started buying stocks. He loves to calculate esoteric indices and apparently they make sense to him. In spite of being a macro economist, he gave a one-handed advice: Buy. The man is a prophet. Hamilton wrote on Nov.13, 2008:
One thing that's clearly underweighted in (my) portfolio is stocks in the financial sector. But in the brief time I've spent looking at a dozen or so of these, I didn't find one that didn't have some bad smell to it. What I'd really like is a regional bank that's been run with a paleolithic conservatism during the go-go years. Any such entity would be in a good position to profit mightily from the current mess.