AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
2min snip
TIP592: Outperforming the Market since 1998 w/ Andrew Brenton
We Study Billionaires - The Investor’s Podcast Network
Discussion on Random Walk Theory and Portfolio Diversification
Random Walk Theory suggests that stock prices move randomly in the short term, making it unpredictable whether they will go up or down. Over short periods like one month, beating the market is like a coin flip. However, as the timeframe extends to several years, the odds of outperforming the market increase significantly, reaching 100% over a 10-year period. The portfolio consists of 25 to 30 holdings, a number chosen based on the founders' ability to thoroughly understand and track the companies, as well as ensuring sufficient diversification to safeguard their invested wealth.
00:00
Transcript
Episode notes
Get the Snipd
podcast app
Unlock the knowledge in podcasts with the podcast player of the future.
AI-powered
Discover
highlights
Listen to the best highlights from the podcasts you love and dive into the full episode
Save any
moment
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Share
& Export
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
Discover
highlights
Listen to the best highlights from the podcasts you love and dive into the full episode