More Than You Know

More Than You Know is a book written by Michael Mauboussin, chief investment strategist at Legg Mason.

[1/31/07] Right now, as we speak, there are silent killers living in our brains, destroying our potential returns. No, it's not the plot to a sci-fi horror film. These sinister agents are decision-making biases, and they're chronically hurting your portfolio.

But have no fear. Help is on the way.

To learn which biases hurt investors the most, I asked Michael Mauboussin, chief investment strategist at Legg Mason and author of More Than You Know. In this interview, he tells us which ones to look out for, and he offers some simple tips to combat them.

[1/31/07] The Indianapolis 500 is touted as "The Greatest Spectacle in Racing." And there's a fascinating quote about what it takes to win the big race at the fabled Brickyard: "To finish first, you must first finish."

To me, that means winning is not just about going fast. It's also about survival, because 500 miles is a long haul.

I think this statement also applies to the stock market. You can have a great short-term run, but if you blow up along the way, you still lose. So what must we do to survive the investment race? I posed some questions to my friend Michael Mauboussin, chief investment strategist at Legg Mason (NYSE: LM) and author of More Than You Know, to find out.

[1/30/07] About skill and luck in investing.

[2/27/07] Mauboussin talks about guppies <! bloomberg link added 7/24/07, see value_investment_thoughts 6/17/06 ->

[4/14/07] Mauboussin on Strategy is a series of commentaries published on the Legg Mason site

[6/3/07] Here are three psychologically-difficult barriers great traders and investors must overcome: loss aversion, frequency versus magnitude, and the role of randomness. How individuals cope with these barriers provides good insight into their investing temperament.

[7/24/07] When you're a zebra being chased by a lion, there's no use thinking about next week. With humans, it's the same thing. A portfolio manager worries if a stock will work out in the next three days; he doesn't think if it will work out in the next three months or three years. <! value_investment_thoughts 6/17/06 ->

[8/6/08] More articles and commentary by Mauboussin

[3/11/13] Mauboussin has left Legg Mason

[3/4/14] an interview with Mouboussin