Episode #235: The Three Golden Rules of Investing

We’ve covered a lot of technical investment concepts on the show over the last couple years.  Since it’s sometimes helpful to take a step back and focus on the core foundational concepts, this week’s episode covers the three golden rules of investing we should all be trying to use.  We also cover Nvidia’s stock split and the new world of financial scammers. 

Show Notes

[13:43] Risk and Return – Grant starts off the conversation by discussing the trade-off between risk and return.

[21:38] Irrational Decisions – We discuss the best method of handling market information to have the best investment outcome.

[17:40] Inefficient Market – Grant shares some examples of inefficient markets and why you should dismiss the concept of more return than risk.

[27:32] Long-term Returns – Grant explains how you can achieve long-term investment outcomes.

[31:54] Diversification – We discuss why diversification is important when it comes to investing.

[40:22] Foreshadowing – Grant explains why there is no possible way to predict the short-term direction of the market.

[46:42] The Golden Rules – Grant shares the importance of following the three golden rules when investing.

Resources

sherwood.news/tech/investigating-instagram-investing-scams/