The Compound and Friends

Statement Risk

16 snips
Jun 27, 2025
Cole Wilcox, the Founder and CEO of Longboard Asset Management, shares his expertise in alternative investment strategies. The discussion dives into the art of trend following and the psychological biases that challenge investors. Cole emphasizes the impact of technology on investment decisions and highlights how younger generations are adapting to market dynamics with resilience. Additionally, they explore the importance of systematic approaches for decision-making and managing risks in volatile environments.
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ANECDOTE

Formative Market Experiences Shape Bias

  • Early investing experiences shape risk perception profoundly.
  • Trauma from market busts like 1997-2002 embeds lifelong biases about risk.
INSIGHT

Market Experience Can Mislead

  • Market experience can mislead if analogizing past cycles.
  • People often become experts on outdated market regimes, causing flawed judgments.
INSIGHT

Fast Markets and Quick Recoveries

  • News and social media speed up market perceptions drastically.
  • V-shaped recoveries feel faster but have historical precedent like 1998.
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