Risk Management
2 posts
Howard Marks: Why Risk Is PerverseRisk is often misunderstood, not because it is complicated, but because it defies intuition. As Howard Marks explains in his discussion on the character of risk, “risk is counte…
Mohnish Pabrai: How the Kelly Formula Can Improve Your Financial StrategyIn his book The Dhandho Investor, Mohnish Pabrai discusses the Kelly Formula, a strategy for determining the optimal fraction of a bankroll to bet on favorable odds. Using examp…