Charlie Ellis once gave a speech in which he related the three ways to beat the market. You can be smarter than everyone else, you can outwork everyone else, or you can behave better than everyone else.
It turns out none of those are easy.
A lot of investors try to outwork the next person without realizing that all the other next persons are trying to do the same thing.
And the trouble with being smarter than everyone else is that nobody looks or feels smarter until after the fact. The smartest investors tend to do things that nobody else is doing and often seem wrong at the time. Continue Reading…