The curse of the magazine cover

For quite some time I've thought one of the last places you want to be seen is on the cover of a major magazine, particularly in finance. Usually it's because you did something horribly wrong. But often it's because the general public has realized your achievements, be them perceived or real. And when everyone is in agreement, it typically marks the end of an era. If a movie has been number 1 in the box office for 5 weeks in a row, it's a pretty safe bet it'll be dethroned as everyone who would want to see it already has. (Sure there are the occasional Titanics and Star Wars out there.)

Take for example the infamous Business Week 'Death of Equities' cover in late 1979. Within a couple years after it's publication the largest, longest Bull market in US history would kick off. Or the Economist cover on Goldman Sachs in late 2006 declaring Goldman was 'On top of the World.' The piece spoke about how it was clear sailing for the world's premier financial firm. We all know what was around the corner.

 

Now the Atlantic has Ben Bernancke on it's latest cover simply stating "The Hero." In fairness to the Atlantic, it also asks 'so why does everyone hate him.' Perhaps that last small print line is protection against the curse? While I'm as happy as anyone with recent stock market returns, it's covers like this that keep me on alert.