Sound Investing Ben Felix- New Truth Teller and Q&A
Paul starts the podcast with an update on the Bogleheads Conference. For those who want to see a sample of last years presentations here is a link to all of the 2022 presentations.
https://boglecenter.net/bogleheads-university/
For those interested in 2023 Conference, including list of speakers: https://boglecenter.net/conferences/
For this interested in exploring John Bogles archives:
https://boglecenter.net/bogle-archive/
Paul is working on a list of 80 quotes investors might use to remind themselves of the important investment beliefs that keep investors on track. He asks listeners to send him the quotes that have kept you on track. Please send to paul@paulmerriman.com.
Our Truth Tellers are individuals or organizations that, in our opinion, are committed to helping investors better understand the facts and act in their own best interest. Their work and voice consistently provides useful, evidence-based information and advice, often on topics that we do not cover, and we want you to be aware of them to help you be a better long-term investor.
Here is a Truth Teller page for Ben Felix.
Ben is the host of a popular YouTube series. His over 100 videos are some of the best teaching tools in the industry. The following are a few samples:
Dave Ramsey's Investing Advice
Plus Ben and Cameron Passmore interview other financial experts on their podcast, Rational Reminder. They have made a special effort to interview many of the academics who have studied the investment process.
Here is a wonderful interview with:
Prof. Meir Statman: Financial Decisions for Normal People
5:16 Meir defines Behavioral Finance
15:37 The difference between a "normal" investor and a rational one
21:48 Why normal investors like lottery-like assets despite low or negative expected returns
26:24 The downsides to the "consume from dividends but don't dip into capital" rule
32:59 Why dollar-cost averaging is so persistent, when it is well-known to be rationally suboptimal
36:48 What makes strategies like covered calls and structured products so attractive to normal investors
43:19 Why normal wealthy people seek to invest in hedge funds and private equity, despite their questional benefits to a rational investor
48:24 How normal investors should deal with currency hedging in global portfolios
53:03 How behavioral portfolio theory differs from mean-variance portfolio theory
1:00:21 How an optimal behavioral portfolio differs from an optimal CAPM portfolio
1:09:21 How the typical risk-profile questionnaire can be adapted to improve the behavioral dimension of portfolios
1:15:53 How financial advisors can use behavioral finance principles to improve client outcomes
1:17:55 What puts financial advisors in a position to give well-being advice
1:23:27 Meir defines success in his life