"Everyone knows that it’s compound returns over time that matter, and everyone knows that volatility is a drag on compound returns."
“History by and large is the study of surprises, and the irony that people use the study of surprises to try and gain a map of the future causes a lot of disappointment, so when people look back to what investment ideas worked last time, it just doesn’t work that way – markets adapt. Rather, look to how people psychologically react – the behaviours tend to be repeatable.”
“The more debt you have, the narrower the range of outcomes you can survive.” Howard Marks, co-founder of Oaktree Capital. “The question is, why is the seller anxious? Is the basis transitory or more likely permanent? If transitory, you have a real opportunity. So the key is to find out which companies are value illusions, and which offer real upside.”
“History by and large is the study of surprises, and the irony that people use the study of surprises to try and gain a map of the future causes a lot of disappointment, so when people look back to what investment ideas worked last time, it just doesn’t work that way – markets adapt. Rather, look to how people psychologically react – the behaviours tend to be repeatable.”
“The more debt you have, the narrower the range of outcomes you can survive.” Howard Marks, co-founder of Oaktree Capital. “The question is, why is the seller anxious? Is the basis transitory or more likely permanent? If transitory, you have a real opportunity. So the key is to find out which companies are value illusions, and which offer real upside.”