The Intellectual Investor – Value Investing by Vitaliy Katsenelson Why Value Investing Requires Thoughtful Arrogance – Ep 169
Nov 17, 2022
Explore the fascinating world of contrarian investing and the unique mindset it requires. Learn how 'thoughtful arrogance' plays a pivotal role in navigating market volatility. Discover the delicate balance of believing you know better than the crowd while staying grounded and humble. Unpack the psychological aspects of dissenting opinions among investors and the importance of disciplined research. This discussion offers valuable insights for anyone looking to invest against the grain.
AI Snips
Chapters
Transcript
Episode notes
Volatility's Dual Role
- Volatility is both an opportunity and a challenge for value investors.
- Market optimism and pessimism swing stock prices, complicating practical investing.
Arrogance in Investing
- Investing inherently involves arrogance since it assumes you are right and others are wrong.
- Value investing magnifies this arrogance by buying unpopular or disliked stocks.
SoftBank's Delirium Anecdote
- Masayoshi Son of SoftBank lost tens of billions as his Vision Fund crashed despite past success.
- He admitted feeling delirious and thinking he had the Midas touch during peak profits.
