Michael Mauboussin, Chief Investment Strategist at Legg Mason Capital Management was on Wealth Track this week to discuss the role of skill and luck in investing. Mauboussin just published a new book titled The Success Equation. He says luck plays a much larger role in investing than most presume. And interestingly, he says it’s due to the excess of skill in the investment world. Skills have become more uniform creating less room for outperformance and increasing the role that luck plays in the overall outcomes.
Mauboussin is a Georgetown University alum which means he’s obviously very smart so you should probably watch the full interview. See the full thing here.
Source: Wealth Track