Investing for Growth is a compilation of Fundsmith’s annual letters and articles Terry Smith wrote for the Financial Times. Just a bit of background, Fundsmith is a UK-based fund that was founded by Terry Smith with a strategy focused on investing only in high quality businesses. Fundsmith has a track record of 18.1% p.a since […]
When Genius Failed: The Rise and Collapse of Long-Term Capital Management by Roger Lowenstein Long-Term Capital Management’s demise comes from a mix of how their perfect models quantify risks in an uncertain world, a sense of infallibility, 30 to 1 leverage, illiquid trades, and basic greed. It is like betting on the outcome of a […]
How do we attain wisdom? It starts with knowledge. What kind of knowledge should we acquire? Peter Kaufman’s three buckets of knowledge can guide us. “Every statistician knows that a large, relevant sample size is their best friend. What are the three largest, most relevant sample sizes for identifying universal principles? Bucket number one is […]
Books that should be read more than once. Antifragile: Things That Gain from Disorder While Taleb’s previous two books—Fooled by Randomness and The Black Swan—focused on overconfidence and underestimation of risk, Antifragile is the antidote on how we can reduce fragility and in the process, gain from disorder and randomness. Antifragile provides a view that […]
I get asked a lot on what are the best books to read for investing. And like most people, I used to recommend classics like The Intelligent Investor or One Up on Wall Street. This is a no-brainer, right? Why read something else when you can read the best? At hindsight, those were poor advice. […]
I have always interested to find out what makes a company tick. Why some companies succeed while others fail? What enables a company to grow continuously for decades when others fail to maintain that even for a few years. Is it management? The nature of the industry? The products a company offers? Or is it […]