Last week I talked about the two questions I’ve been hearing lately: “How bad will it get, and how long will it last?” This week, amid the continuing stock market tumult, some people are asking a third question: “Should I even bother investing in the stock market? It just seems crazy.” It’s a [...]
The paradox of personal finance
“The investor’s chief problem—even his worst enemy—is likely himself.” So wrote Benjamin Graham, the father of modern investment analysis. With these words, written in 1949, Graham acknowledged the reality that investors are human. Though he had written an 800-page book on techniques to analyze [...]
What to think about the man who solved the market
This week saw the publication of a remarkable biography. The Man Who Solved the Market chronicles the life and career of hedge fund manager James Simons. Over the past 31 years, Simons’s Medallion Fund has clocked average returns of 66% per year. Even after Medallion's fees—which are the highest in [...]
The happiness formula
Clay Cockrell has a unusual job. In his words, he’s a psychotherapist treating the “1% of the 1%” in New York City. From this vantage point, Cockrell has gained unique insights into the lives of the extremely wealthy. And what conclusions does he draw about money and happiness? “If you have an [...]
The Shakespeare of personal finance
In the investment world, I think it's fair to say, there’s a lot of nonsense and hot air. But there are a few people who are like the Shakespeare of personal finance: In virtually every word, there is great wisdom. Warren Buffett is probably the dean among this group. Another is Peter Lynch, who in [...]
