One type of investor buys stocks when everyone is convinced that corporate earnings will fall. He buys because he thinks they’re wrong and earnings will rise instead. Call him the contrarian.
Another type of investor buys when everyone thinks that earnings will rise. He buys because he thinks they’ll rise even more than expected. Call him the eternal optimist.
Now, the 3 1/2-year-old bull market may have produced a third type of investor, an undiscovered breed with a curious strategy for success: He expects earnings to fall but buys anyway because he hopes it won’t matter.
Call him the blind-faith investor. Or maybe just blind.