What can Long-term Value Investors Learn from Traders?


While its a little quiet here during Asia a spot with some interesting reading.

Its a pretty quick read, broken into bullet points (so even traders can read it 😉 ) 

A taste:

  • While I believe that the success rate in trading is less than that in long-term value investing (and this belief is debatable), I also feel that good traders are far more detached than value investors.
  • What do I mean by “detached?” By the term detached I mean the willingness to be objective about the situation. This means first acknowledging that all trading is probabilistic and there are no sure things and what should work often doesn’t. The same, by the way, is true about investing.
  • Recognition of this reality makes it easier for a trader to quickly change his mind when evidence tells him that he is wrong.

Agree, disagree? Comments welcome!


Products You May Like

Articles You May Like

Western Union shares drop on fear new Facebook cryptocurrency will take money transfer business
Chip stocks fall after Commerce Dept bars 5 more Chinese companies from buying US parts
Donald Trump takes aim at Mario Draghi over interest rates
Traders this week bet on a Fed rate cut in record-setting numbers
BOJ keeps policy unchanged, as widely expected, JPY unmoved

Leave a Reply

Your email address will not be published. Required fields are marked *