Investors Edge Podcast S1:E2

Investors Edge Podcast Episode 2: Understanding Share Price Volatility vs. Business Fundamentals

Understanding Share Price Volatility vs. Business Fundamentals | Investor's Edge Podcast

In this episode of the Investor's Edge Podcast, host Fred Stupart dives into the distinction between share price volatility and business fundamentals. The discussion features insights from Warren Buffett on the limitations of volatility as a risk measure, real-world examples from Hurricane Milton's impact on insurance stocks, and perspectives from Howard Marks on the true nature of risk. Tune in to learn why share prices can move independently of business performance and how this volatility can present opportunities for individual investors.

00:00 Introduction to Investor's Edge Podcast

00:28 Understanding Share Price Volatility

02:57 Real-World Example: Hurricane Milton's Impact

04:03 Analyzing Insurance Stocks: Kinsale and Arch Capital

07:09 Howard Marks on Risk and Volatility

10:35 Measuring Volatility and Risk Metrics

12:11 Conclusion and Final Thoughts