Simon Wang Portfolio Manager of eInvest Cash Booster Fund (Managed Fund) (ticker: ECAS) tells us of his hot summer reads. We’re looking forward to seeing how these reads might rub off on the ECAS portfolio.
Annie Duke won the 2004 World Series of Poker (WSOP) and was the former leading money winner among women in WSOP history. Professional poker players are comfortable with the fact that great decisions don’t always lead to great outcomes and bad decisions don’t always lead to bad outcomes. The book starts off about cognitive biases, describing our tendency to judge decisions based on how they turn out and to look for the patterns where they may be none and finishes off with strategies for avoiding the psychological traps and biases.
Michael Batnick is the Director of Research at Ritholtz Wealth Management with a widely followed blog and co-hosted finance podcast. The book explores the ways in which the most famous investors have failed, revealing the lessons learned that shaped more successful strategies going forward. Investing can be a rollercoaster of highs and lows and the stories of different investors illustrate the simple but overlooked concept that investing is hard, whether you’re managing a few thousand dollars or a few billion, failures and losses are part of the game.
A Man for All Markets: From Las Vegas to Wall Street, How I Beat the Dealer and the Market (Edward Thorp)
Mathematician Edward O. Thorp invented card counting, proving that you could beat the dealer at the blackjack table. His remarkable success caused casinos to alter the rules of the game, changing gambling forever. Thorp then shifted his sights to Wall Street, devising and deploying mathematical formulas to beat the market and ushering the era of quantitative finance. Thorp tells the story of what he did, how he did it, his passions and motivations, and the curiosity that has always driven him to disregard conventional wisdom and devise game-changing solutions to seemingly insoluble problems.
Jim Simons is the greatest money maker in modern financial history with his Medallion fund generating average annual returns of 66 percent. His firm Renaissance Technologies has earned profits of more than $100 billion. To bring to light the mysterious Simons who rarely appears in public media, Gregory Zuckerman, a veteran Wall Street Journal investigative reporter, draws on unprecedented access to Simons and dozens of current and former employees to tell the story of how a world-class mathematician and former code breaker mastered the market. Simons pioneered a data-driven, algorithmic approach that’s sweeping the world.
This article is by Simon Wang, PM of eInvest Cash Booster Fund (Managed Fund) (Ticker: ECAS) and is not financial advice. Speak to your financial adviser or broker for more information. I’m sure they’ll be happy to help you. Don’t forget to always read the Product Disclosure Statement (PDS) for the active ETF you are invested in. To find out more and to find the PDS please visit einvest.com.au