As investors, we want to believe we are smart, insightful and uniquely talented - even though we often fail to do the heavy lifting, put in the long hours, and make the uncomfortable but necessary decisions to achieve success. Barry Ritholtz achievedecisionfail share on social
A hedge fund manager whose clients demand monthly performance reports has different needs than any individual investors with a 20-year time horizon. The needs of that long-term investor differ markedly from someone who is retiring in three years. Barry Ritholtz clientdemanddiffer share on social
If you are not making any mistakes, you are being excessively risk-averse. Investing involves risk, and that means you will occasionally be wrong. And although it is okay to be wrong, it is not okay to stay wrong. Barry Ritholtz averseexcessivelyinvest share on social
Outcome is simply the final score: Who won the game; what numbers came up in a roll of the dice; how high did a stock go. Outcome is the result, regardless of the method used to achieve it. It is not controllable. Barry Ritholtz achievecontrollabledice share on social
Any time you speak to people about their posture, you learn about their most recent investment activity. When someone just bought stocks, they tend to be bullish; someone who just sold is bearish. Barry Ritholtz activitybearishbullish Change image and share on social
Asset managers have different approaches, and I don't wish to suggest there is only one way to run money. There are many ways one can attempt to reduce risk, improve performance, lower drawdowns and reduce volatility. Barry Ritholtz approachassetattempt share on social
People forget that although we can pinpoint the price, we can only guess at future earnings. The past isn't much help: It simply tells whether a market was pricey or cheap. Barry Ritholtz cheapearningsforget Change image and share on social
The ability to select stocks, manage them over time and know when to sell them is incredibly difficult, even for professional fund managers. Barry Ritholtz abilitydifficultfund Change image and share on social
Commissions add up, taxes are a big drag, margin ain't cheap. A good accountant costs money as well. The math on this one is obvious, yet investors often fail to recognize it: Keep your costs low and your turnover lower, and you will win in the end. Barry Ritholtz accountantaddbig share on social
Indeed, eventually, random outcomes all revert to the mean, meaning that streaks eventually end. Understanding this is a key part of intelligent and rational investing. Barry Ritholtz endeventuallyintelligent Change image and share on social
