The market has had a great run in the last (fill in what ever time period you want). This is not what I expected. I am either wrong or this is a head fake.
If you go back and read the posts where I spelled out the little bit of defensive action I took I made it clear that I thought that if I was wrong and the market went up, my clients would still capture most of the effect. Thanks to some big moves in some consumer and health stocks and a few names bouncing back nicely in energy and some other areas I have been able to capture this move up.
So I was wrong yet clients have not been hurt. This is crucial to what I do. There are buy siders, that are very concerned about ego and being right that bet client money on only one probability, trust me on this.
This should also be important to anyone managing their own money. Too much of a bet only one probability will come back to bite you.
Wikinvest Wire
1 comments:
An excellent post - you're on the mark when advising people to consider more than one outcome from an investment. One of my favorite phrases when I invest nowadays is "What if I'm wrong"? This one question alone gets me thinking about my risks and the probabilities of different outcomes. Again, well put and well written.
BooValu2
Post a Comment