David Dreman is Fired

By on April 16, 2009

David Dreman, long-time fund manager and author of the book, Contrarian Investment Strategies – The Next Generation, was recently let go by Deutsche Bank. Dreman had managed a fund, now called DWS Dreman High Return Equity Fund, since 1988. In the early years of the fund, Dreman was able to generate decent returns, but as is usually the case, reversion to the mean eventually caught up with him.

Dreman fell victim to the widely-held belief that financials were in the bargain bin before the system collapsed in September 2008. It is surprising that so many highly regarded money managers were blind to the dangers of the biggest mania in the history of the world; the world-wide real estate bubble.

Source:

http://www.nytimes.com/2009/04/10/business/10norris.html?_r=2
***

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>