Author Topic: Investment Culture  (Read 1345 times)

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Offline msj

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Re: Investments
« Reply #45 on: March 19, 2017, 12:27:46 am »
Bill Ackman is a famous hedge fund manager who was once considered among the "Market Masters" in the book with the same name by Robin Speziale. 

This book, which focuses on Canadian investors, included a chapter for the American because of his love affair with Canadian stocks: Tim Hortons, Canadian Pacific, and Valeant.

Ackman's supposed investing principles can be seen in the attached photo.

He ended up losing about $3 billion on Valeant in his fund in what, in hindsight, is clearly a violation of several principles.

Not sure why he fell in love with Valeant that would make him hold it for so long. 

As pointed out here back in October of 2015 by Josh Brown, most traders would have stopped out near the crossover of the 200 day moving average:  http://thereformedbroker.com/2017/03/14/where-traders-sold-valeant-2/

Adhering to this simple principle would have saved investors in his fund billions (or at least hundred of millions).

So, Ackman is human.

And that's the problem with investing.

It's hard because we are human.

I've gotta have more cow bell! -Bruce Dickinson