Many people are obsessed with understanding George Soros’s “investment philosophy” which is actually very simple, here I will break it down for you.
Show this thread
1. The most important thing to understand about Soros is that what he *wanted* was to be a philosopher but what he was *good at* was trading which led him to write several books disguising his ideas about trading with pseudo-philosophical bullshit (eg “reflexivity”)
-
-
2. His trading can be mostly summed up as “get involved in trends”, “stop being involved when the trend has ended and they are obviously over/undervalued”, and “have an insane risk tolerance but good risk management”.
Show this thread -
3. This worked out great for him because he was active at a time when markets were really inefficient and trend following worked really well. It probably won’t work any more (eg see Druckenmiller’s recent performance)
Show this thread -
New conversation -
Loading seems to be taking a while.
Twitter may be over capacity or experiencing a momentary hiccup. Try again or visit Twitter Status for more information.