445 | Fundamental Truths of Investing | Brian Feroldi

By ChooseFI

ChooseFI

10/07/23·38m 22s

In this episode: investing, losing money hurts, pessimism, optimism, index funds, psychology, history, and building wealth.

Whether you're a confident investor or weary of playing the market, there is still a lot to be learned when it comes to your investments. This week we are re-joined by friend of the podcast Brian Feroldi to discuss important truths and takeaways he’s learned as a decades-long investor, from navigating the psychology and history of the market, to focusing on longevity and simplicity rather than getting rich quick. When listening to this episode, remember that playing the market doesn’t have to be a complicated game, and no one should feel un-equipped to invest! Just be sure to understand that investing will never be a perfect journey, and preparing yourself for low points may help you make better decisions in the long run!

Brian Feroldi:

Website: brianferoldi.com Twitter: @brianferoldi Book: “Why Does The Stock Market Go Up?: Everything You Should Have Been Taught About Investing In School, But Weren’t” By Brian Feroldi

Timestamps:

0:41 - Introduction 4:27 - You Will Be Wrong 9:45 - Losing Money HURTS 12:54 - Humans Are Naturally Bad Investors 16:09 - Pessimism And Optimism 20:22 - The Power Of Index Funds 22:31 - The Power Of History And Psychology 24:45 - Avoiding Ruin Is A Skill 28:56 - Keeping It Simple 35:24 - To Build Wealth, You Need To Invest 37:50 - Conclusion

Resources Mentioned In Today’s Episode:

"Poor Charlie’s Almanack: The Essential Wit and Wisdom of Charles T. Munger" by Charles T. Munger "The Psychology of Money: Timeless lessons on wealth, greed, and happiness" by Morgan Housel "Expectations Investing: Reading Stock Prices for Better Returns" by Michael J. Mauboussin Subscribe to The FI Weekly!