Daniel Kahneman: What Can All Investors Learn From Ray Dalio When It Comes To Making Better Decisions

Johnny HopkinsDaniel KahnemanLeave a Comment

Shane Parrish recently interviewed Daniel Kahneman on his Knowledge Project Podcast. During the podcast Kahneman reveals the actions we can take to overcome the biases that cripple our decision-making, damper our thinking, and limit our effectiveness. He also discusses what everyone, including investors, can learn from Ray Dalio at Bridgewater … Read More

Daniel Kahneman: The Illusion Of Understanding – Just How Lucky Were The Founders Of Google

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Here’s a great passage from Daniel Kahneman’s book – Thinking Fast and Slow, in which he discusses the ‘Illusion of Understanding’, illustrated by the role that luck had on the founders of Google saying: The trader-philosopher-statistician Nassim Taleb could also be considered a psychologist. In The Black Swan, Taleb introduced … Read More

Daniel Kahneman: Investors Should Consider A “Regret Proof” Policy To Overcome Loss-Aversion

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Here’s a great article from Morningstar in which Daniel Kahneman provides financial advisors with advice on how to better steer clients towards their investment goals using a “regret proof” policy. The policy could also be adapted by individual investors in managing their own portfolios. Here’s an excerpt from that article: Finding … Read More

Daniel Kahneman: The Illusion of Stock-Picking Skill

Johnny HopkinsDaniel Kahneman1 Comment

For the majority of stock pickers successful investing is thought to be based on some degree of skill. The truth is however that successful stock picking for most amateur and professional investors is due mainly to ‘luck’ not skill. Everyone knows investing is important, but it can also be overwhelming. … Read More

Is It Better To Buy The Stock And Watch The Price Drop Or Not Act And Watch The Price Soar? – Daniel Kahneman

Johnny HopkinsCharles Munger, Daniel Kahneman, Warren BuffettLeave a Comment

One of the most common predicaments facing investors is that they’ve analysed a stock, it meets with the investors criteria, and now it’s time to pull the trigger and buy the stock. But something happens, the investor ums and ahs and delays the decision to buy. Next thing you know three … Read More