RE: reckon napolean15 Jul 2016 11:43
Good post JS - you're absolutely right. I was also an institutional fund manager for a period of years, and am still in the investment industry. For me, it's about retaining the right mix of conviction and humility. For PIs, it's not so much about stock selection, they're often as good as many pros - it's about portfolio construction ie understanding the risks in each position, and correlation of risks between positions, and then sizing bets by stock, sector, and exposure appropriately.
Even the best investors only get 2/3 of their decisions right - that's still a lot of wrong decisions, so don't bet the house on one stock!!