Category: Investing

The Secret of Success (According to a Middle-Eastern Philosopher and an American Cartoonist)

The Philosopher and the Cartoonist The Middle-Eastern philosopher is Nassim Nicholas Taleb.  Taleb is a Lebanese-American author, academic, statistician, and philosopher.  He achieved riches in bond trading and fame from his best-selling books Fooled by Randomness and The Black Swan.  He is pretentious, overbearing, and arrogant.  He believes he has the world figured out and…

You Can’t Beat the Market

Who Is Your Competition? Famed hedge fund manager Michael Steinhardt was once asked what the single most important thing an amateur investor could learn from him was.  His arrogant but informative answer was “That I’m their competition.” Every time you buy or sell a stock or mutual fund there is someone on the other side…

What You Can Learn About the Stock Market From Our Poorly Trained and Excitable Dog

If you want to take volatility out of your portfolio, check it less often.  –Ronald H. Muhlenkamp, American investor and businessman I am not a “dog person.”  I didn’t grow up with dogs and as an adult I didn’t have any desire to own one.  My wife, Alice, and I agreed on this.  However, we didn’t…

Don’t Underestimate the Incredible Power of Compound Interest?

“The most powerful force in the universe is compound interest” – Albert Einstein Take a minute to read the two questions below and estimate the answers. Don’t put too much thought in to it, or perform any calculations. Simply read the questions and write down your estimates: Starting on the day you are born you…