Reading List II

[bogey]

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did you happen to see and or read the reply in this thread immediately after mine?

youre probably confused about this matter, fortunes formunla shows us that the "Is the market efficient?" debate is settled, theoretically WON


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yeh, ok, woohoo, it does that in a very superficial way, name something from the book that you learned and you could actually apply right now

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i have concern for your financial future, do you see why?

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no i honestly dont

[kagame]

uhhm yeah you really need to keep your positions small, overbetting leads to worse results than one might think, also you shouldnt even be betting half kelly because its really easy to overestimate your edge and raise your risk of ruin exponentially with, and this is crucial as I see the matter, little increased return as an incentive on the other side of this debate!

there is every reason in the world to care about position sizing, not just knowing that position sizing should be small but knowing your EDGE and betting proper amounts of your bankroll as compared to that edge

this may not have a literal application to a scenario where you cant know your exact edge, poker or stocks for example, but the concept of underbetting kelly is key

this has not been absorbed into economic theory yet! many books recommended here still advise based upon a flawed model of how capital appreciation really works, and if you dont have this ground work before you start trying to pick stocks based on graham/buffet value fundamentals or technical analysis on japanese candlesticks or whatever does it for you...

you can win in the market with alot of different types of systems, but position sizing is KEY

obviously if you dont have an edge to start nothing will save you, but betting properly WILL allow you to last longer, and maybe develop a winning strategy before you go broke

anyone else even read this book? please someone weigh in that understands what im talking about and can advise ME where to go from here lol

[kagame]

why did noone ever read this book

[Sniper]

Kagame,

Would you like to lead a group reading of this book?