Here's the problem: Good enough for a specific task -- batting, driving, investing -- requires only a narrow understanding of a relatively small subset of factors to achieve success. One doesn't need to know everything about, well, everything, to be reasonably successful at these tasks.

But there are times when investors’ good-enough models do a poor job of explaining events. So far, 2016 seems to be one of those periods. It isn't all that surprising.

 

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