Turtles in Omaha: "The difference in [investment] return had nothing to do with knowledge and everything to do with emotional and psychological factors. We had all been taught the same thing, but my return . . . was three times that of the others."
• What separates good from great investors is not knowledge or raw smarts, but patterns of behavior.
• All investors should be alert to black swans—events that are outliers, have an extreme impact, and are explained only after the fact.
• Cognitive errors, including loss aversion, are often the source of suboptimal investment decisions.
• Investors tend to underestimate the role of randomness in results.
Read the complete commentary
• What separates good from great investors is not knowledge or raw smarts, but patterns of behavior.
• All investors should be alert to black swans—events that are outliers, have an extreme impact, and are explained only after the fact.
• Cognitive errors, including loss aversion, are often the source of suboptimal investment decisions.
• Investors tend to underestimate the role of randomness in results.
Read the complete commentary
