If You're Curious About These Questions...
You should listen to this audiobook
- Did you know that some of the world’s most legendary investors have made multi-billion dollar blunders that almost ruined their careers?
- Have you ever wondered why even the smartest financial minds fall into the same psychological traps that could be draining your own portfolio right now?
- What’s the secret to turning a catastrophic investment failure into a blueprint for long-term wealth and market success?
Listen to Big Mistakes — Free Audiobook
Loading player...
Key Takeaways from Big Mistakes
- Discover why studying the massive financial blunders of legendary investors gives you the benefit of their hard-won wisdom without suffering the heavy losses yourself.
- Understand the crucial difference between a company's price and its value, a concept pioneered by Benjamin Graham to explain how human emotion drives market fluctuations.
- Realize that there are no magic formulas in investing by exploring how the father of value investing lost 70 percent of his portfolio by misjudging the market's bottom.
- Learn why failing to manage your risk can be financially fatal, as demonstrated by Jesse Livermore, who amassed a billion-dollar fortune only to bankrupt himself through reckless speculation.
- Recognize the extreme dangers of concentrated investments by seeing how the highly successful Sequoia Fund suffered a catastrophic 90 percent loss due to a lack of diversification.
Big Mistakes — Full Chapter Overview
Chapter 1: Recommendation
Chapter 2: In investing, methods and techniques are helpful, yet not foolproof.
Chapter 3: Neglecting risk management can be truly deadly — even for seasoned investors.
Chapter 4: Concentrated positions are a risky business.
Chapter 5: Emotions can cloud our judgment in important matters of business deals.
Chapter 6: Traders must never overestimate their abilities.
Chapter 7: Overconfidence has cost even the best investors millions upon millions.
Chapter 8: Minimizing unforced errors is crucial for investment success.
Chapter 9: Investors must take large losses in their stride.
Big Mistakes Summary & Overview
In Big Mistakes (2018), Michael Batnick runs through some of the world’s best-known investors and their high-profile slipups. More than just a catalog of blunders, this book also explains what each error can teach us about managing our own portfolios.
Who Should Listen to Big Mistakes?
- Fledgling investors
- Those fascinated by great investors
- People interested in US investment history
Books Similar to Big Mistakes
Readers who enjoyed this also liked these titles.
When Genius Failed
★ 4.1 / 5 • 110 ratingsThe Rise and Fall of Long-Term Capital Management
What I Learned Losing a Million Dollars
★ 4.3 / 5 • 117 ratingsThe story of a man who lost it all
Stop. Think. Invest.
★ 3.9 / 5 • 342 ratingsA Behavioral Finance Framework for Optimizing Investment Portfolios
The Laws of Wealth
★ 4.2 / 5 • 203 ratingsPsychology and the secret to investing success