Posts filed under “Psychology”

10 rules to Win the “Loser’s Game”

Paul B. Farrell of MarketWatch reminds us of a good list of strategies, courtesy of Charles Ellis’ classic "Winning the Loser’s Game: Timeless Strategies for Successful Investing."

1. Never, never speculate.
2. Your home is not a stock.
3. Save lots more.
4. Brokers aren’t your friends.
5. Never trade commodities.
6. Avoid new and exciting deals.
7. Bonds also ride up and down.
8. Never invest for tax benefits.
9. Write goals and stick to them.
10. Never trust your emotions.

Farrell notes that several investing luminaries have heaped praise on the book: "Management guru Peter Drucker calls it "the best book on investment policy and management." Jack Bogle credits Ellis’s book as the inspiration for his first index fund in 1976.

Ironically, the book was written in 1975 in order to help his fellow money managers "improve their game."

Perhaps it will improve yours as well.


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Source:
You can win ‘The Loser’s Game’
Let Ellis’ classic 10 rules guide your strategy
By Paul B. Farrell,
MarketWatch, 6:17 PM ET July 10, 2005
http://www.marketwatch.com/news/story.asp?guid=%7BD6C23B0A%2DCB74%2D4810%2D9EA9%2D2593A4D27C47%7D&siteid=mktw&dist=

Category: Books, Investing, Psychology, Rules

Understanding the Inverted Yield Curve

Category: Economy, Fixed Income/Interest Rates, Psychology

California SUV Fill Up Index

Category: Commodities, Psychology

Real Estate’s Wall of Worry

One of the odder aspects of the so-called housing bubble phenomenon is how so many pundits have been so self-confident in their declarations of bubbleosity. I find that somewhat ironic — the same people who missed the largest stock bubble in human history have now become expert in spotting bubbles. And they now are spotting…Read More

Category: Markets, Psychology, Real Estate

What price changes behavior?

Category: Commodities, Economy, Psychology

We Are Greedy and Stupid Creatures

Category: Investing, Psychology

Will September be the Cruelest Month?

Category: Investing, Markets, Psychology

More Signs of the Coming Denouement

Category: Investing, Psychology

Juiced Data

We have been watching, with no small degree of skepticism, a stream of improving Macro-economic data. Color us unconvinced. Many of the key releases have been fraught with misleading headlines obscuring much weaker data beneath, and last month was no different. From Inflation to Federal Deficit to Unemployment Rates to Industrial Output to recent GDP…Read More

Category: Economy, Investing, Politics, Psychology

Apprenticed Investor on the Radio

Category: Investing, Media, Psychology