Ideas from books, articles & podcasts.
published 4 ideas
by Howard Marks
Inefficiency is a necessary condition for superior investing. Attempting to outperform in a perfectly efficient market is like flipping a fair coin: the best you can hope for is fifty-fifty. For investors to get an edge, there have to be inefficiencies ...
The random walk hypothesis says a stock's price movements are of absolutely no help in predicting future movements. In other words, it's a random process, like tossing a coin. The hypothesis says, the fact that a stock's price has risen for the last ten days tells you nothing ...
An excellent investor may be one who - rather than reporting higher returns than others - achieves the same return but does so with less risk or even achieves a slightly lower return with far less risk.
MORE LIKE THIS
Successful investing requires thoughtful attention to many separate aspects, all at the same time. The Most Important Thing by Howard Marks covers these key aspects in layman language and without a lot of finance jargon though it covers the concepts of investment theory.
❤️ Brainstash Inc.