"Life is a mixture of Chance & Choice" raw notes from: A Man For All Markets
- Having an Edge requires survival.
- The dosage controls your discovery of the edge.
- How to deal with the intricacies of probabilities?
- Love to learn.
- Learn how the world works through experimentation and exploration.
- Use your mind to overcome intellectual obstacles.
- Values = fair play, level playing fields and treat others how you would like to be treated.
- Complete concentration.
- Value Books.
- Have a sense of justice and fair play.
- Thorp's Method:
- 1) Cut to the chase in identifying the Edge
- 2) Edge = something that in the Long Run puts the odds in your favor
- 3) The Edge has to be obvious and uncomplicated
- 4) It is the DOSAGE of the betting, not too little, not too much, that matters at the end.
- Favor learning by doing, with SKIN IN THE GAME.
- Think: If you do this, what do you want to happen? and If you do this, what do you THINK will happen?
- Understanding and dealing correctly with the trade-off between risk and return is the fundamental.
- To get Rich -- only make the investments where You have an Edge!
- Bet more when the odds are in your favor.
- Life is a mixture of chance and choice. Chance is the cards you are dealt. Choice is how you play them.
- Be calm and disciplined.
- Character is Destiny.
- Most stock picking stories, recommendations and advice are completely Worthless.
- Avoid anchoring to the price you paid. It's irrational.
- Mistake = to think you can wait to get out, until you get even from a losing position.
- Anchoring to a price that has meaning to you, but not to the market....
- Don't focus on the price of the stock. Focus on the economic fundamentals of the company.
- Evaluate the risks of leverage.
- Margin of Safety.
- Buy when others are fearful.
- Buy and hold is better than trading.
- A Man For All Markets
President at TruSource Marketing (#Inc5000) / Health1nsurance
4ylooking fwd to reading this one. thanks for sharing Jose
Venture Capital | Medical Outcomes Research | Internal Medicine | Free Market Healthcare Enthusiast
4yGreat points! Thank you for sharing 👍👍