After fourteen chapters of theory, history, and bubbles, Malkiel finally gets to the practical stuff. Chapter 15 is called “Three Giant Steps Down Wall Street.” It’s his playbook. Three ways to actually invest your money.
Chapter 5 kicks off Part Two of the book: “How the Pros Play the Biggest Game in Town.” On a typical trading day, shares worth hundreds of billions change hands. Fresh Harvard Business School grads pull $200,000 salaries in good years. The top money managers handle over a trillion dollars in hedge fund assets.
Book: Beating the Street by Peter Lynch with John Rothchild | ISBN: 978-0-671-75915-5
Peter Lynch didn’t find his best stock ideas in analyst reports or at investment conferences. He found them at the Burlington Mall, 25 miles from his house.
Book: Beating the Street by Peter Lynch with John Rothchild | ISBN: 978-0-671-75915-5
Peter Lynch didn’t start Magellan. He inherited it. And what he inherited in 1977 was kind of a mess.
Book: Beating the Street by Peter Lynch with John Rothchild | ISBN: 978-0-671-75915-5
A group of seventh graders at St. Agnes School in Arlington, Massachusetts, picked a portfolio of 14 stocks. Over two years, their picks gained 70 percent. The S&P 500 gained 26 percent in the same period. Those kids outperformed 99 percent of all equity mutual funds.