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Portfolio Evolution
- Paul Merriman discusses the evolution of his investment recommendations from a 10-fund to a 4-fund portfolio.
- This change stemmed from discussions with Chris Pedersen and John Bogle, emphasizing simplicity over higher returns.
Small Cap Value Performance Cycles
- Small cap value often underperforms the S&P 500 for extended periods (15-20 years).
- However, it can then outperform significantly, potentially due to reversion to the mean.
Market Timing Pitfalls
- Paul Merriman recounts his early career focusing on market timing due to its past success.
- He later realized its impracticality for most investors due to the difficulty of staying the course.