Money and Finance
There is a great anecdote in The Davis Dynasty that I think resonates well with anyone who writes. As I mentioned in my full review of The Davis Dynasty book, this is a different kind of investing book. There are tons of business books about how one person or another climbed the ladder, found a way to make a fortune. Those are great, but the Davis Dynasty shows more of the effects on the personal side through three generations, which is pretty unique.
Towards the end of the book, the third generation Andrew Davis and Chris Davis are establishing themselves in the investment world. Chris Davis is working for Shelby Davis the patriarch, then in his 80s, who is at the tail end of his career. Shelby Davis specialized in investing in insurance companies, and he had published a weekly insurance newsletter. One of Chris (his grandson's) jobs was to help with publishing the newsletter, which in the age of computers was not really read by anyone outside their family office any more:
"Why do we bother this?" [Chris] asked Davis, "when nobody reads it."
"It's not for the readers," Davis said. "It's for us. We write it for ourselves. Putting ideas on paper forces you think things through."
That's an excellent insight and applies well beyond investing. In the realm of investing, I have followed Jason Zweig's guidance in Your Money and Your Brain, where he advises that investors write out an Investment Policy Statement (IPS). Zweig says "The best way to prevent yourself from being knocked off track by your emotions is spell out your investment policies and procedures in advance in an IPS"
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Short (8 minute) interview with Chris Davis: HERE. - ...
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- Chris Davis On Wealthtrack
Chris Davis Video (1/18/08) on WealthTrack: http://www.wealthtrack.com/video_player.html-....................-Related Previous Post: The Davis Research Methodology-..........-Book: The Davis Dynasty: 50 Years of Successful Investing on Wall Street ...
- The Davis Research Methodology
A short history of Davis Advisors and our unique approach to building long-term wealth through investing in equities, including: what we look for in a company, how we arrive at an appropriate purchase price and the factors that may prompt us to sell a...
Money and Finance
Why We Write - Anecdote from Davis Dynasty Book
There is a great anecdote in The Davis Dynasty that I think resonates well with anyone who writes. As I mentioned in my full review of The Davis Dynasty book, this is a different kind of investing book. There are tons of business books about how one person or another climbed the ladder, found a way to make a fortune. Those are great, but the Davis Dynasty shows more of the effects on the personal side through three generations, which is pretty unique.
Towards the end of the book, the third generation Andrew Davis and Chris Davis are establishing themselves in the investment world. Chris Davis is working for Shelby Davis the patriarch, then in his 80s, who is at the tail end of his career. Shelby Davis specialized in investing in insurance companies, and he had published a weekly insurance newsletter. One of Chris (his grandson's) jobs was to help with publishing the newsletter, which in the age of computers was not really read by anyone outside their family office any more:
"Why do we bother this?" [Chris] asked Davis, "when nobody reads it."
"It's not for the readers," Davis said. "It's for us. We write it for ourselves. Putting ideas on paper forces you think things through."
That's an excellent insight and applies well beyond investing. In the realm of investing, I have followed Jason Zweig's guidance in Your Money and Your Brain, where he advises that investors write out an Investment Policy Statement (IPS). Zweig says "The best way to prevent yourself from being knocked off track by your emotions is spell out your investment policies and procedures in advance in an IPS"
From Zweig's book and IPS should include:
"Purpose of Portfolio
Return Expectations
Time Horizon
Diversification
Rebalancing
Benchmarks and Review
Frequency of Evaluation
Adding and Subtracting
We Will Never..."
I think the last category is the most vital, because the IPS is essentially a mistake avoidance tool. The We Will Never rules to avoid act as guardrails. And writing them down is the first step.
- Positive Psychological Changes From Meditation Training Linked To Cellular Health
Found via Mark’s Daily Apple.Positive psychological changes that occur during meditation training are associated with greater telomerase activity, according to researchers at the University of California, Davis, and the University of California, San...
- Money & Emotions - Chris Davis Interview
Short (8 minute) interview with Chris Davis: HERE. - ...
- Selected American Shares: Stocking Up On Financials
When Chris Davis says he invests for the long term, he means it. The average holding period of stocks in Selected American Shares, a member of the Kiplinger 25, is ten years. Davis is the third generation of a family that has been investing in "durable,...
- Chris Davis On Wealthtrack
Chris Davis Video (1/18/08) on WealthTrack: http://www.wealthtrack.com/video_player.html-....................-Related Previous Post: The Davis Research Methodology-..........-Book: The Davis Dynasty: 50 Years of Successful Investing on Wall Street ...
- The Davis Research Methodology
A short history of Davis Advisors and our unique approach to building long-term wealth through investing in equities, including: what we look for in a company, how we arrive at an appropriate purchase price and the factors that may prompt us to sell a...