Sunday, August 08, 2004

Against the Gods!

That title should get some attention to this piece!
That is the name of the book i just finished reading - a wonderful masterpiece on understanding risk , rational decision making and how, more often than not, emotion drives human actions.
Read this book and use it as a basis for your investing philosophy - you will come out ahead.

3 Comments:

At 8:19 PM, Anonymous Anonymous said...

GP, whats the sharpe/ information ration on your portfolio?

-bharat

 
At 3:31 AM, Anonymous Anonymous said...

GP, have u tried mean-reversion ... choose any two highly correlated scrips - same sector - say A and B .. Portfolio = Long A Short B (same value for each position) ... funda: A/B reverts to the statistical mean .... Buy portfolio at Mean - 2 sigma


bharat

 
At 2:15 PM, Blogger Guru said...

I have posted a new entry - On Mean Reversion - check it out.
I haven't done any detailed number crunching on my portfolio - I plan to do it someday.

 

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