L03 10.1 Investment Selection Given that Madrigal Pharmaceuticals was up by 516 percent for 2017, why didn't all investors hold Madrigal? LO 3 10.2 Investment Selection Given that Sears Holdings was down by 61 percent for 2017, why did some investors hold the stock? Why didn't they sell out before the price declined so sharply? CHAPTER 10 Some Lessons from Capital Market History 10.3 Risk and Return We have seen that over long periods of time, stock investments have tended to substantially outperform bond investments. However, it is not at all uncommon to observe investors with long horizons holding entirely bonds. Are such investors irrational? L03 10.1 Investment Selection Given that Madrigal Pharmaceuticals was up by 516 percent for 2017, why didn't all investors hold Madrigal? LO 3 10.2 Investment Selection Given that Sears Holdings was down by 61 percent for 2017, why did some investors hold the stock? Why didn't they sell out before the price declined so sharply? CHAPTER 10 Some Lessons from Capital Market History 10.3 Risk and Return We have seen that over long periods of time, stock investments have tended to substantially outperform bond investments. However, it is not at all uncommon to observe investors with long horizons holding entirely bonds. Are such investors irrational