HB: How do you know when to actually stop doing homework and start making a trade?
Jim Rogers : Well, I do try to discipline myself and realise I
better wait, because my timing is hopeless. Eventually I get enough
confidence. But even then, Henry, you can’t just act. You gotta keep at
it. Because something can change, and things do change. As we were
discussing, I decided to start buying Russia and, lo and behold, came
the Ukraine. It didn’t occur to me that America was going to try to
throw its weight around and try to overthrow the Ukrainian government. I
should have done more homework and been more aware. When things change
you need to change with it, you need to reexamine and see if you were
wrong in the first place. The market constantly makes me reexamine. -
in business insider
Jim Rogers started trading the stock market with $600 in 1968.In 1973 he formed the Quantum Fund with the legendary investor George Soros before retiring, a multi millionaire at the age of 37. Rogers and Soros helped steer the fund to a miraculous 4,200% return over the 10 year span of the fund while the S&P 500 returned just 47%.
Jim Roger is a respectful guy for his truth speaking. But there is something missing in his thinking process when it comes to his Russia investing: it is impossible to think through all enumerations and combination of an investment theme, the only thing investor should do is to stick to one's principles (like Warren's three rules etc)
ReplyDeleteDon't kid yourself. Rogers will make a KILLING in Russia when oil recovers 12 to 24 months down the road. If oil drops to $40 per barrell, I would jump into Russia with both fists full of money and so would he. The Ruble crisis will pass and you can dollar cost average it if oil falls below $50. Even the Saudi's would not want to keep oil below $50 forever!
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