8 months is the average holding period for investing in a company
Investors do not have na understanding of what they own and why they own it but also they don’t understand how decisions are made in their portfolio
Expecting the future to look like the past, and missing out on humility
- One of the top things investors don’t understand
“Beating the stock market”
- What stock market?
- A market is somewhere you go to buy and sell goods and services
- Stock market is where you go to buy and sell businesses
You should not have 100% of your money in the S&P 500
- Therefore at no time should you compare your performance to the S&P
Should be asset allocated
Discipline in investing is PARAMOUNT
- To your process
- Buy and sell discipline
Beating a benchmark is a misleading statement
- The only benchmark your portfolio should be up against is “am i getting closer to my goals”
Successful investing
- Investing in great businesses over time
- Don’t over diversify and allocate properly
- Consider volatility your friend
Forget what happens over a short period of time

October 2, 2018

Episode 290

September 18, 2018

what are the parameters investors use to judge how “happy” they are with their financial advisor?
what services are people not getting that causes them to be upset
- communication?
- returns?
- content?
we are all at some level looking for clarity in our lives
- jobs, money, bills
- we spend too much time worrying
the media is hyper focused on comparing your portfolio to the performance of the S&P 500
- no portfolio should have 100% of their money in an S&P 500
- you’re diversified but you’re not asset allocated
lack of clarity in the investment world at what they should be looking at to gauge how well their investments are doing
- it is not about rate of return or beating a benchmark
rate of returns is RELATIVE
risk aversion?
how do you properly gauge the probability of loss? You can’t
a key to success: expectations
- having reasonable expectations and managing them

august 30, 2018

Episodes