Dick Davis Dividend

[TK3]

My path to PP was heavily influenced by the Book the Dick Davis Dividend.  If you haven't read it, it is on one the most common sense, straightforward reads on investing.  His summary advice:

Investors have a predisposition to fail
Most news is irrelevant
Homework is Hogwash
It is a curse to be instantly and completely informed
The attitude of infallability by so many advisors and talking heads on TV is a disservice to consumers
The durability of major trends is under-appreciated
The role of pure luck is seldom acknowledged

When I read this forum, most of Harry Brown's rules resonate with one of these themes. 

[AdamA]

My path to PP was heavily influenced by the Book the Dick Davis Dividend.   If you haven't read it, it is on one the most common sense, straightforward reads on investing.   His summary advice:

Investors have a predisposition to fail
Most news is irrelevant
Homework is Hogwash
It is a curse to be instantly and completely informed
The attitude of infallability by so many advisors and talking heads on TV is a disservice to consumers
The durability of major trends is under-appreciated
The role of pure luck is seldom acknowledged

When I read this forum, most of Harry Brown's rules resonate with one of these themes.   

Sounds like a cool book.  I'll have to check it out.

[craigr]

Investors have a predisposition to fail
Most news is irrelevant
Homework is Hogwash
It is a curse to be instantly and completely informed
The attitude of infallability by so many advisors and talking heads on TV is a disservice to consumers
The durability of major trends is under-appreciated
The role of pure luck is seldom acknowledged

The more you ignore the news the better your investments will perform. The only deliberately good actions investors can do to make a real difference in my opinion are:

1) Broadly diversify in a passive investing strategy.
2) Ruthlessly cut costs in implementing the strategy.
3) Ignore the news.
4) Use a stable portfolio so you can manage your own emotions.
5) Acknowledge that good and bad luck exists and diversify in a way to make sure you can profit from, or protect you from, either of them if they should happen.

[TK3]

Craig,  Agree with your statements.  Interesting the different paths we take to come to those conclusions.