Investing Tag Archive

Luck alone can create successful fund managers

(Extracted from Fooled by Randomness by Nassim Taleb) We create a cohort that is composed exclusively of incompetent managers. We will define an incompetent manager as someone who has a negative expected return,...

September 15, 2019| Investing, Randomness Read More

Nassim Taleb invests mainly in treasuries, owns no stocks

(Extracted from Fooled by Randomness by Nassim Taleb) There is another reason why Nero is not as rich as others in his situation. His skepticism does not allow him to invest any of his own funds outside of treasury...

September 8, 2019| Investing Read More

Changing your strategy or be patient?

(Excerpt from The Laws of Investing by Morgan Housel) Benjamin Graham published several editions of his book The Intelligent Investor, with each new edition swapping out old formulas for new ones that worked. This...

September 8, 2019| Investing, Randomness Read More

Be indifferent with your wins and losses

(Extracted from ThoughtCo.) Sāi Wēng lived on the border and he raised horses for a living. One day, he lost one of his prized horses. After hearing of the misfortune, his neighbor felt sorry for him and came to...

September 8, 2019| Investing, Life Read More

Seek low risk, high uncertainty investments

(Extracted from The Dhandho Investor by Mohnish Pabrai) Wall Street sometimes gets confused between risk and uncertainty, and you can profit handsomely from that confusion. The Street just hates uncertainty, and it...

September 8, 2019| Investing Read More

How much you win or lose, not how often you win

“It’s not whether you’re right or wrong, but how much money you make when you’re right and how much you lose when you’re wrong.” George Soros...

September 8, 2019| Investing, Nonlinearity Read More

Concentrate and bet big

In 1994, Charlie Munger was addressing a crowd at University of Southern California. (Extract from James Clear) When Warren lectures at business schools, he says, “I could improve your ultimate financial welfare...

September 8, 2019| Focus, Investing, Via Negativa Read More

Sure Money vs Big Money

(Extracted from Warren Buffett’s Ground Rules by Jeremy C. Miller) Buffett provided his most explicit recognition of this evolutionary transition in his fall letter of 1967. As he said then, The evaluation of...

September 8, 2019| Investing Read More

↑