20/20 MONEY: SEE THE MARKETS CLEARLY AND INVEST BETTER THAN THE PROS
You need to see the investment landscape more clearly to be a more successful investor. There is money called 20/20 Money. Fisher Investments Press can help you achieve this goal.
Designed to help you think differently about your investing choices, this reliable resource addresses new ideas and challenges. With. There is money called 20/20 Money. Gaining a firm understanding of various concepts, from stock market and systems theory to neuroscience and psychology, can help you begin making better investment decisions. Along the way, you will discover some of the most successful strategies for thinking and learning, and how they can be applied to your investing endeavors.
You have to have the discipline to make tough choices if you want to become a better investor. The approach outlined in these pages can help you make better-informed investment decisions.
TABLE OF CONTENTS
There are Acknowledgments.
The introduction
CHAPTER 1 INVESTING IS A SCIENCE 1
The Arrow Shot Crooked was written by Apollo.
More Than Just a Good Vintner 3 was written by Dionysus.
The method is not the dogma 5.
Careful with categories 13
Could math be wrong?
Reduction: Why you can’t quantify everything.
CHAPTER 2 INVESTING IS A DISCIPLINE 27
Discipline, Discipline, Discipline 29
Sagacity: Seeing Isn’t Believing
Understanding and being curious.
CHAPTER 3 HUMAN BEHAVIOR 51
Brain Basics is a book.
There are brains on the market.
What a terrible memory you have!
Bad behavioral finance
Behavioral Miscellany is a book.
CHAPTER 4 SENTIMENT AND THE MEDIA 83
Sentiment basics are 85.
News and the media.
What is their motive?
There are tips and tricks to navigate the media.
We invest in metaphors.
CHAPTER 5 HOW STOCK MARKETS REALLY WORK 113
Capitalism by Any Other Name
It is complicated. A crash course.
The new golden rule is 130.
Supply and Demand is the oldest and still the best.
CHAPTER 6 FORECASTING, PART 1—THE PRINCIPLE OF PROBABILITY 147
Predicting Is Strange Alchemy.
There are types of predictions.
Markets are nothing like coin toss.
All 163 is the biggest problem.
Investing Lessons from Probability 165
Looking to the future. 170
CHAPTER 7 FORECASTING, PART 2 —RECOGNIZING PATTERNS 173
A pattern by any other name.
There are stock market patterns.
There are patterns through the noise.
It is a game of relative expectations.
History can be used to find patterns.
Three big drivers.
A note on future patterns.
CHAPTER 8 PRACTICAL PORTFOLIO MANAGEMENT 197
The virtues of heuristics.
Goal setting 199
Personal goals for the rest of the year.
Portfolio goals 205
The philosophy of the top down.
There are various heuristics.
CHAPTER 9 THE NATURE OF RISK AND NAVIGATING MARKETS IN TROUBLED TIMES 229
There is risk and uncertainty.
What happens when you assume financial risk?
In Troubled Times
Parting thoughts
Notes 255
There is a selected bibliography and further reading.
About the author.
Index 271
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