macrocephalopod

Many people are obsessed with understanding George Soros’s “investment philosophy” which is actually very simple, here I will break it down for you.

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”.

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)

That’s it, the end.

1) reflexivity is the single most important idea necessary for financial markets to make any sense and mainstream economics adopted it subsequent to Soros publishing. 2) all the market does now is trend, have you seen /es ?

Look at GME, AMC or TSLA, look at Bear or Lehman. The perception of a company even when initially wrong can cause it's premise to come into being. The meme supply creates it's own demand