Learn more about moneyandinvestments with this collection
How to make good decisions
How to manage work stress
How to manage email effectively
The process of intelligently building a portfolio consists of buying the best investments, making room for them by selling lesser ones, and staying clear of the worst.
The raw materials for the process consist of
(a) a list of potential investments,
(b) estimates of their intrinsic value,
(c) a sense for how their prices compare with their intrinsic value
(d) an understanding of the risks involved in each, and of the effect their inclusion would have on the portfolio being assembled.
The starting point for portfolio construction is unlikely to be an unbounded universe.
206
170 reads
MORE IDEAS ON THIS
211
619 reads
Dealing with risk is an essential element in investing. There are three reasons for this:
208
305 reads
208
318 reads
Only a few of them will achieve the superior insight, intuition, sense of value and awareness of psychology that are required for consistently above-average results. Doing so requires second-level thinking.
Your thinking has to be better than that of others – both more powe...
223
1.34K reads
Why do mistakes occur? Because investing is an action undertaken by human beings, most of whom are at the mercy of their psyches and emotions.
The desire for more, the fear of missing out, the tendency to compare against others, the influence of the crowd and the dream of the sure thing – t...
208
184 reads
The market’s not a very accommodating machine; it won’t provide high returns just because you need them
206
237 reads
207
268 reads
For investing to be reliably successful, an accurate estimate of intrinsic value is the indispensable starting point. Without it, any hope for consistent success as an investor is just that: hope.
Buy at a price below intrinsic value, and sell at a higher price.
An investor has two ba...
211
470 reads
Every once in a while, someone makes a risky bet on an improbable or uncertain outcome and ends up looking like a genius. But we should recognize that it happened because of luck and boldness, not skill.
The truth is, much in investing is ruled by luck. Some may prefer to call it chance or ...
207
199 reads
Risk is – first and foremost – the likelihood of losing money.
The possibility of permanent loss is a risk to worry about.
214
684 reads
Since bargains provide value at unreasonably low prices – and thus unusual ratios of return to risk – they represent the Holy Grail for investors.
It’s obvious that investors can be forced into mistakes by psychological weakness, analytical error or refusal to tread on uncertain ground. Tho...
207
178 reads
208
243 reads
219
1.35K reads
208
311 reads
212
359 reads
211
396 reads
it takes analytical ability, objectivity, resolve, even imagination, to think things will ever get better. The few people who possess those qualities can make unusual profits with low risk.
The oscillation of the investor pendulum is very similar in nature to the up-and-down fluctuation of...
207
214 reads
If value investing has the potential to consistently produce favourable results, does that mean it’s easy? No. For one thing, it depends on an accurate estimate of value. Without that, any hope for consistent success as an investor is just that: hope.
It’s hard to consistently do the right ...
212
430 reads
210
217 reads
216
1.76K reads
We have two classes of forecasters: Those who don’t know – and those who don’t know they don’t know.
207
248 reads
Asset prices immediately reflect the consensus view of the information’s significance. I do not, however, believe the consensus view is necessarily correct.
To beat the market you must hold an idiosyncratic, or nonconsensus, view.
The efficient market hypothesis is its conclusion that...
211
817 reads
Efficiency is not so universal that we should give up on superior performance.
Efficiency is what lawyers call a ‘rebuttable presumption’ – something that should be presumed to be true until someone proves otherwise.
Inefficiency is a necessary condition for superior investing. Attemp...
211
550 reads
Day traders considered themselves successful if they bought a stock at $10 and sold at $11, bought it back the next week at $24 and sold at $25, and bought it a week later at $39 and sold at $40. If you can’t see the flaw in this – that the trader made $3 in a stock that appreciated by $30 – ...
211
468 reads
The received wisdom is that risk increases in the recessions and falls in booms. In contrast, it may be more helpful to think of risk as increasing during upswings, as financial imbalances build up, and materializing in recessions.
208
385 reads
208
199 reads
208
192 reads
208
213 reads
Nothing is easier than self-deceit. For what each man wishes, that he also believes to be true.
206
369 reads
To avoid losing money in bubbles, the key lies in refusing to join in when greed and human error cause positives to be wildly overrated and negatives to be ignored.
207
221 reads
206
164 reads
209
328 reads
First-level thinkers think the same way other first-level thinkers do about the same things.
All investors can’t beat the market since, collectively, they are the market.
To outperform the average investor, you have to be able to outthink the consensus. Are you capable of doing so? Wh...
220
1.11K reads
If riskier investments could be counted on to produce higher returns, they wouldn’t be riskier.
The key question is whether it’s right: Is the market unbeatable? Are the people who try wasting their time? Are the clients who pay fees to investment managers wasting their money?
Second-...
211
693 reads
208
213 reads
What the wise man does in...
209
223 reads
Possible routes to investment profit:
209
415 reads
209
181 reads
CURATED FROM
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.
“
Related collections
More like this
Buffett follows the Benjamin Graham school of value investing, which are :
Organizations must recognize the drawbacks that some algorithms bring into the screening and hiring process as a result of the way they are trained, which can have a direct impact on outcomes such as diversity and inclusion.
Explore the World’s
Best Ideas
Save ideas for later reading, for personalized stashes, or for remembering it later.
Start
31 ideas
Start
44 ideas
# Personal Growth
Take Your Ideas
Anywhere
Just press play and we take care of the words.
No Internet access? No problem. Within the mobile app, all your ideas are available, even when offline.
Ideas for your next work project? Quotes that inspire you? Put them in the right place so you never lose them.
Start
47 ideas
Start
75 ideas
My Stashes
Join
2 Million Stashers
4.8
5,740 Reviews
App Store
4.7
72,690 Reviews
Google Play
samz905
Don’t look further if you love learning new things. A refreshing concept that provides quick ideas for busy thought leaders.
“
Shankul Varada
Best app ever! You heard it right. This app has helped me get back on my quest to get things done while equipping myself with knowledge everyday.
“
Ashley Anthony
This app is LOADED with RELEVANT, HELPFUL, AND EDUCATIONAL material. It is creatively intellectual, yet minimal enough to not overstimulate and create a learning block. I am exceptionally impressed with this app!
“
Sean Green
Great interesting short snippets of informative articles. Highly recommended to anyone who loves information and lacks patience.
“
Jamyson Haug
Great for quick bits of information and interesting ideas around whatever topics you are interested in. Visually, it looks great as well.
“
Ghazala Begum
Even five minutes a day will improve your thinking. I've come across new ideas and learnt to improve existing ways to become more motivated, confident and happier.
“
Giovanna Scalzone
Brilliant. It feels fresh and encouraging. So many interesting pieces of information that are just enough to absorb and apply. So happy I found this.
“
Laetitia Berton
I have only been using it for a few days now, but I have found answers to questions I had never consciously formulated, or to problems I face everyday at work or at home. I wish I had found this earlier, highly recommended!
“
Read & Learn
20x Faster
without
deepstash
with
deepstash
with
deepstash
Access to 200,000+ ideas
—
Access to the mobile app
—
Unlimited idea saving & library
—
—
Unlimited history
—
—
Unlimited listening to ideas
—
—
Downloading & offline access
—
—
Personalized recommendations
—
—
Supercharge your mind with one idea per day
Enter your email and spend 1 minute every day to learn something new.
I agree to receive email updates