Investing

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

Barbell Strategy

(Extracted from Antifragile by Nassim Taleb) If you put 90 percent of your funds in boring cash (assuming you are protected from inflation) or something called a “numeraire repository of value,” and 10 percent...

September 8, 2019| Investing, Nonlinearity 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

Largest positions are the ones you don’t lose

My largest positions are not the ones I think I’m going to make the most money from. My largest positions are the ones I don’t think I’m going to lose money in. Joel Greenblatt...

September 8, 2019| Inversion, Investing Read More

Investing up to 40% in one stock

“We diversify substantially less than most investment operations. We might invest up to 40% of our net worth in a single security under conditions coupling an extremely high probability that our facts and reasoning...

September 8, 2019| Focus, 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

Wait, wait, wait, pounce!

If you took our top fifteen decisions out, we’d have a pretty average record. It wasn’t hyperactivity, but a hell of a lot of patience. You stuck to your principles and when opportunities came along, you pounced on...

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

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