Thanks Tim for this inspiring piece! Of all the things you have written about, from the 20% Letter and now, I will be printing this out so I can re-read it often. I will keep it with Jason Zwieg book: Your Money & Your Brain. His book explains how neuroeconomics can show investors how to avoid making money mistakes. He lays down a series of rules that, if followed will prevent you from making many of the emotional decisions that have cost investors dearly over time.
You never cease to amaze me. At 75, I now have a universe of reading to do to due to your writings. Hopefully my eyes and brain will hold up to allow me to try to catch up. All while trying to understand your stock analysis method and improve my earnings and net worth. Thank you for sharing your knowledge.
I'm a lucky mid 70's guy and have been seeking that inner control that you explicate here most of my life in the contxt of a psychological profile that encourages a strong, sometimes wayward influences of a intuitive bent. Your very interesting piece Tim is a great reminder of sticking to the plan and 'react to the fact'. My favourite Epictetus injunction that came across in my superficial exposure to his writings is "The key is to keep company only with people who uplift you, whose presence calls forth your best." Thats why I so enjoy tour Substack.
My takeaway here is that emotional discipline and a clear understanding of what we can control are crucial in investing. The ancient Stoics understood that markets operate independently of our opinions and desires. By embracing Stoic principles—like accepting market realities and preparing for adverse scenarios—we can better position ourselves to seize opportunities while maintaining emotional equilibrium. This mindset enhances our investment strategies and fosters long-term success and resilience in the face of market volatility.
Do you have any secrets to share that could help us better embrace our inner Stoic - especially when it comes to our portfolios and financial decisions?
The quick answer is to develop quantitative systems that eliminate all human emotion and bias. You should also constantly rigorously test your models. Follow the models without question. You may think bitcoin is hot garbage, but if the model says buy, you buy. You may think banks are the root of all evil but if the model says they are undervalued and should be bought, you buy.
Focus on margin of safety first and foremost when investing and risk control when trading
Thanks Tim for this inspiring piece! Of all the things you have written about, from the 20% Letter and now, I will be printing this out so I can re-read it often. I will keep it with Jason Zwieg book: Your Money & Your Brain. His book explains how neuroeconomics can show investors how to avoid making money mistakes. He lays down a series of rules that, if followed will prevent you from making many of the emotional decisions that have cost investors dearly over time.
You never cease to amaze me. At 75, I now have a universe of reading to do to due to your writings. Hopefully my eyes and brain will hold up to allow me to try to catch up. All while trying to understand your stock analysis method and improve my earnings and net worth. Thank you for sharing your knowledge.
I'm a lucky mid 70's guy and have been seeking that inner control that you explicate here most of my life in the contxt of a psychological profile that encourages a strong, sometimes wayward influences of a intuitive bent. Your very interesting piece Tim is a great reminder of sticking to the plan and 'react to the fact'. My favourite Epictetus injunction that came across in my superficial exposure to his writings is "The key is to keep company only with people who uplift you, whose presence calls forth your best." Thats why I so enjoy tour Substack.
My takeaway here is that emotional discipline and a clear understanding of what we can control are crucial in investing. The ancient Stoics understood that markets operate independently of our opinions and desires. By embracing Stoic principles—like accepting market realities and preparing for adverse scenarios—we can better position ourselves to seize opportunities while maintaining emotional equilibrium. This mindset enhances our investment strategies and fosters long-term success and resilience in the face of market volatility.
Do you have any secrets to share that could help us better embrace our inner Stoic - especially when it comes to our portfolios and financial decisions?
The quick answer is to develop quantitative systems that eliminate all human emotion and bias. You should also constantly rigorously test your models. Follow the models without question. You may think bitcoin is hot garbage, but if the model says buy, you buy. You may think banks are the root of all evil but if the model says they are undervalued and should be bought, you buy.
Focus on margin of safety first and foremost when investing and risk control when trading