Risk and Money Management are the keys to the kingdom when it comes to portfolio management. There is no doubt about it! And here’s the research to back it up. Tuesday evening 23rd October 2012, Gary Stone took Switzer TV viewers through the benefits of implementing a strategy with risk and money management rules by…
So what is a researched EDGE and why is it important to have one when trading and investing? An edge is a researched set of entry and exit criteria that deliver profit trades that are sufficiently large enough to cover costs and loss trades over a large number of trading events. The biggest strength of…
Charley Ellis, a 45 year veteran of investment in the markets, has been quoted as saying “the sad lesson for retail investors is that institutional investors underperform the market and that includes those professionals running managed funds.” In his book, “Winning the Loser’s Game”, Charley Ellis explains that managed funds, on average, will underperform the…
Making mistakes is one of the biggest problems that private investors need to overcome. Active investors will make more mistakes than passive investors, especially when they start out, purely due to the fact that they make many more decisions. The aim should be to minimise mistakes rather than trying to hit big winners. Over time,…
A universal ‘formula’ exists in this trading caper that needs to be understood and positioned in your psyche to continue to be successful on an ongoing basis. Anybody can place a few profitable trades, randomness will take care of that. But to continue to be successful on an ongoing basis requires more than the consequence…
