Nassim Taleb: Economists Don’t Predict Better Than Cab Drivers. Typically A Little Worse, Often!

Johnny HopkinsNassim Taleb, Robert ShillerLeave a Comment

Here’s a great interview with Nassim Taleb and Bob Shiller hosted by Nick Paumgarten at The New Yorker Summit. The panel is discussing economics, economists, and their role in finance. Taleb is asked the following question: Paumgarten: Is Economics Even A Science? And here is his Taleb’s response: Taleb: No, no, ask a scientist if economics is a science and they’ll … Read More

Nassim Taleb: How Frequent The Profit Is Irrelevant; It Is The Magnitude Of The Outcome That Counts

Johnny HopkinsInvesting Strategy, Nassim TalebLeave a Comment

Here’s a great investing lesson by Nassim Taleb from his book Fooled by Randomness. Similarly to Michael Mauboussin in this article, Taleb makes the point that it’s not how frequently you profit from your investments that important, it’s the magnitude of the outcome that counts. Here’s an excerpt from the book: The general press floods us with concepts like bullish and … Read More

Marks on Taleb And The Self Inflicted Anxiety That Investors Create For Themselves

Johnny HopkinsHoward Marks, Nassim TalebLeave a Comment

One of the best books ever written on investing is – Fooled by Randomness: The Hidden Role of Chance in Life and in the Markets, by Nassim Taleb. Howard Marks recommended the book in this interview with 5 Good Questions, saying: “I like the book Fooled by Randomness by Nassim Nicholas Taleb. I think it’s got some very very valuable ideas. Dealing … Read More