YouSaid · the spoken record

Brendan Moynihan

lines on the record: 73
first: 2014-09-16
most recent: 2014-09-16
sittings or episodes: 1
sources: podcast

Every line below is reproduced as it was said and linked to the record it came from. Nothing here is summarised or generated. Directory · Search · Corrections

“I would say wait a little bit later to make most of the major life decisions. I think I was probably a little too young when I made a number of them. So probably just wait, just get a little bit more maturity before pulling the trigger. So my father died when I was in college, there wasn't really anybody like saying, no, you might want to hold off on that a little bit. You might want to think about doing this. I was just basically out of my mind.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“I know I went to movies with my kids when they were young. I could go family. It was like a Disney. Like the Lion King or something, which I mean, I don't think that was intended for me”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“I just like facts and figures, I guess. I don't know. I don't care about stories. I guess I watched pretty women with Jim.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Because I came back from my honeymoon the day the stock market crashed and I got fired from my job. The guy thought it was the end of the world, so he fired us all and closed the business.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“It break down and it stops working. And now there's a whole new population that it's dealing with. That is not a deck of cards. That is not a roulette wheel where probability, class probability exists, you're dealing with case probability and these things are indeterminate. You do not have the prescribed possible universe of outcomes. And I think people, again, get a false sense of security by putting the math to it because there's a numerator, denominator like there is in probability, and they think that they actually have quote-unquote odds in their favor, as though they could repeat that thing, that experiment a hundred times in a laboratory. They can't. You can't replicate that social science phenomenon in a lab the way you can with the cars, the roulette wheel, or whatever, and there's chance.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Before Thanksgiving, exactly that's right. That's right, unless it's the White House turkey. Yeah, you know, because you get smart. So, I think that people are fooled by the similarities, but similarity is not sameness. It is not the same thing to do statistical analysis and then try to fast forward that in the future and say probabilistically this is going to happen. So I have rings of examples, and I won't load the book with you. I'll just do enough to kind of get the point across where here's a market phenomenon that has worked 100% in the past. It's happened X number of times and 100% of the time as has been profitable to next week. If you fast forward that through time,”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“So they wound up with a random variable. My point is that in the social sciences, you have case probabilities. You do not have class probability. I don't understand why baseball players have a single batting average. Shouldn't they have one for every pitcher that they face? Shouldn't they have a daytime one and a nighttime one? What are the odds in you getting struck by lightning? Somebody can tell me, but I would say, well, using statistics, the odds are none because so far I've never gotten hit by lightning. Therefore, there's 100% chance that I will not get hit by lightning. So there is some confusion. Well, it's like the turkey.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“So these are all chances, and actually that's a funny story, but just the sidebar, that in finance, particularly in investment business in the 50s, it became very scientific with Markowitz in the paper that he wrote and modern portfolio theory and so on. In the 40s, as they were trying to kind of go through this stuff, two guys were doing work on modern stochastic analysis, and they couldn't figure out whether they wanted to call it a chance variable or a random variable. The word random had popped in because of random Brownian motion with Einstein in 1905, and everybody was trying to, you know, it makes finance and economics sound scientific if you start using words from a physical scientist. So they were trying to settle on should we use chance variable or random variable? You know how they settled it?”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“You've got class probability. You have a uniquely defined set of population of possible outcomes, and they form a class. With statistics, you have cases. And the word case is French and it actually is the root for the word chance in English.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Fast forward 140 years. In the 1880s, you start getting the development of statistics, which I think got fooled by the similarity of there being the numerator and a denominator. And they started saying, well, you know, something happened in the past or seemed to be like X number of fires in the city about every year. And so they start taking data from the past, numerator and denominator, examined outcome versus possible outcomes and said, well, it's happened that many times in the past. Therefore, it's a probability that will happen in the future. And that's where I think the problem breaks down is that with probability,”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“I don't have to take a deck of 52 cards and go through all the different combinations and permutations to find out that there are 2,598,980 different five card poker hands, right? The math will tell me what it is. And it will tell me what the likelihood is of getting any one of those hands or going into the future, a numerator and a denominator. Fine.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“So I'm writing a book. The working title is Fooled by Similarity, The Art of Risk or the Art of Risk Management. And it's a look at how thousands of years ago societies, whether they were tribes or clans or whatever, they looked out for each other and said if one guy's crop failed or got eaten by animals or whatever, they all would take the numerator, the denominator, and divide the loss and keep that family alive so that nothing bad would happen to them, right? So it was a pretty easy pooling of risk that took place. And as time marched on, you get into around the 1600s, 1660. Basically, you got the early stages of understanding the science and the math of probability. And this came about because of a different kind of risk. And most risks prior to that was all seen as downside. Something bad happens. That's risk. It's going to go down, right? But when they started doing this with games of chance, you now had a man-made environment where something good could happen or something bad could happen. And so the development of probability in that was an exercise in math. And it was purely predictive. It is purely predictive.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Well, so I'm working on two. One, I've had to indefinitely shelve just because I'm too busy with primary work and things, but I'm writing a book on grammar. I'm assuming you do not want to hear about that. The other one”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“In the group it happens. And so they take actions that are obviously contrary to their individual interests, but they do it because they are swept up in this mania or panic. And I think an individual can do that particularly with decisions about money, particularly about in liquid markets, where you're getting constant feedback. Like you wake up every morning and you're not getting a check for Mr. Market on what those prices are. Or I don't mean a check. I mean checking the price or getting a reading on what those prices are. Whereas I'm getting thousands of price changes a day by lifting at screens and it's like it's easy for somebody to follow that. And I think that that book does a really good job of providing the macro view of what a micro can affect an individual.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“panicked, but what I observed was that those same traits can be exhibited manifested in an individual in a decision-making process in an environment of uncertainty, whether you're in an office with people around you or whether you're sitting, I work in an office by myself and the home office and there's no one around, but looking at screens and being inundated with information and news or whatever, that an individual can exhibit those same traits and characteristics that make a group of people lose their individual sense of self-preservation and, for example, after your team loses a sports event, you go out with a whole bunch of people and you set the town on fire, right? Really? I mean, you would never do that on your own. Right.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Just in terms of the cycles of the markets and the economy, it has a broad scope. And so some of these things have happened before in similar ways and not all identical, but to try to get some history and perspective that way. And I've already mentioned the other one, which is the crowd by LeBon. I think that it's a fascinating book for he looks at how groups of people can get caught up in these mass manias.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Well, I mean, I think that I mean, I think two books kind of fashion and got me interested in this at a very early age. The first book I read on the markets was a book called The Money Game by the pen name Adam Smith. His name is George Goodman. It was probably written in 1967. It happened to be on my parents' bookcase a long time ago, and I was probably 15 or 16 years old when I read that. And then I went to college and kind of, I was studying finance. I was sort of already in the industry and kind of getting going. And I came across another book called Once in Doll Conda. It's about the Boldwater 19th. Absolutely. I've seen this.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Was killing himself on the battlefield by losing that much money in that shorter period of time. But that's it. A trader will take the lump and just say, okay, so I lost the money. But I have to stay liquid so I can come back and try this again if I think I have any skill at doing this. I can't make this a matter of being right or wrong and risk all the capital just because there's room to risk it”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Well, I liquidate down to a sleep level. Yeah, I've done that. I've done that a number of times. So I've gotten completely out of when I'm just like, it's not going, something's wrong. I don't understand what's happening here. The volatility is too much or whatever. And I've heard this one as well. I mean, these are little cliches that come from the street. But it's better to be a coward and live to fight another day than to die on the battlefield.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“So it's a contrast, and I've heard anecdotally about people liquidating all the way down to zero, but really I've heard and I've experienced myself just liquidating down to the sleep level. So here's a great analogy. There's a guy who I worked with at the Investment Bank in Nashville He was both instead now, but he was around when the firm started in nineteen twenty seven. So he went through the crash in the depression working for that firm and was still there in the mid nineteen eighties when I got there, May 13, 1985. He said, Brandon, there are only two positions in the market, and it's not long and short. I kind of looked at him. He said, it's too little and too much. So, when it's working for you, when the physician's going your way, you don't have enough on. And when it's going against you, you got too much on.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“And you're an investor of the longest timeframe that Adam Smith was talking about when he scripted that out because the idea of you waiting for a dividend, whether that comes from going public or whatever, is a But no, you're right. And I think that it is, I mean, you're an investor and a lot of what I've been talking about and a lot of what the book is about in the specifics of the parable is speculators. But even investors in the liquid securities markets do have the ability to decide, I do not want to be in the steel market anymore. I was in the steel business today. I don't want to be in there by Thursday, and I'm going to get out”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“to become the be all end all that I mean that I've seen that get people into trouble that wasn't the exact question you were asking I've seen that get people into trouble and I've seen some of the best traders I've seen like the money is not you know what it's about it's not what they're they're doing and they're not flashy they're not going out and you know buying crazy things and”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“We really don't like to be wrong, no matter what it is we're talking about. None of us likes to be wrong So, the ability to distinguish that and differentiate that and keep that money loss as an external thing rather than internalizing or personalizing it and equating loss with wrong and saying, no, I lost some money. This is not about being right or wrong. Running a business is not about being right or wrong. It's about making judicious risk management decisions in a condition of uncertainty trying to speculate, and I met with a capital S running the business, what future demand is going to be, where supply is going to come from, a very dispassionate view of the decision-making process. And to some extent, a healthy disrespect for money. Money is just a way of keeping”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Of people get. I mean, I think actively being able to take a loss. Might be in a position and it's against you and you have a stop further down in the market to get you out if it gets down there, but the ability to just turn and just say, you know what, it's not acting right, I'm not going to mess with this. I'm not going to hope for it to go back up to kind of back to Blake even. I'm just going to go ahead and get out. And be able to take that loss and just walk away from it and not Not relive it, not rehash it, not mull over it, not complain about it. And it's difficult because I think that what happens is, and I point this out in the book that the million-dollar book that we've been talking about. Because we lose points for wrong answers on tests in school, when we lose money, we must think that we were wrong”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Position regardless of the market I did. And by the end of the week, I did it for five days and I lost $450. But it was like the longest position I had ever held. But you know what? I learned a lot. I was probably 24 years old and I really began to, and I was on my own. I wasn't employed. I was doing my own thing. I was trying to make money doing that. And I learned more in that doing that. I did learn a lot from, again, these are going to be floor traders, a guy named Tom Baldwin in the bond pit in Chicago. I learned a lot from reading about and interviews with these people. Bruce Kovener, who was featured in Market Wizards. And so again, my bet was really more on the speculator side, right? I was an investor in that capacity or looking at equities that way. So I think that my perspective and approach are probably a little bit different from what most people maybe in the securities industry kind of grew up and cut their teeth on.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Well, again, my history is largely from the trading environment, the bonds, currencies, and commodities for 25 years, and have only recently, in the last couple of years, kind of moved into the equities markets as part of my profession. And this is probably a shameless plug or whatever, but I work for the two smartest guys I've ever met in my life, so I feel very comfortable and happy there. In terms of the other investors, I do think that in my early years, I do think I learned a lot from speaking with Jim Rogers. He said to me one time, he said, he said, short soybeans, and you'll learn more in one week than you will at two years at a business school.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“And you're old enough to know that means five. And I could put three of those, and you'd say bang, 15. Or I could put the number one five. And putting the digits one and five next to each other is condensing a lot of perceptual data into a smaller mental unit that you can grasp immediately. That's what your posted note is doing with the list, in my mind. And that's what my one painter is doing in my mind. The points are taking this massive data that I have formed in my head, what am I going to do? What am I not going to do? And I'm boiling it down so that I can at a glance more readily apprehend it and put it to work.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“There's a reason why telephone numbers are seven digits long, right? I mean, there is a capacity that the brain cannot take in. And this is actually going to be one of the sections of the book that I've already written it, but the book that I'm working on right now, which is basically concept formation. So if you in your mind's eye, if I put up three vertical lines just on a piece of paper, one inch long, you can just glance at that and tell me there are three. You don't need to count them, right? Now, a five-year-old would have to count them because the five-year-old has not yet figured out how to grasp that much content at a glance and spit out what the answer is. But if I put 15 of those lines up there right next to each other, you would have to count them. Now, I could do a little shortcut and I could do four of the lines vertical and then one diagonal through it, right?”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Translating sixty five thousand words into a single sheet of paper that you can then try to instill it is the way that I found people abused of us. And I did the same thing. I mean, I have a stack of legal pads and I physically write the stuff out every day because then it's not being tapped out on the computer. I literally have to write it out in capital letters with a pen. So I know I'm doing what I'm supposed to be doing.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Am I succumbing to this? And with the pencil start saying, okay, and then are you following the bullet points that you now put at the bottom, which are the if then scenarios under which you're going to act and pull the trigger on a position in the market? So I think the ones that have sort of gotten what I was saying, they have written it down. The top half of the sheet of paper is basically you print it out, right? I mean, and then the bottom half, your plan might not change from one day to the next, but some people print it out every day. Some people just print out the bottom half and say, okay, I'm changing the plan to do this. I'll check the checklist. Am I falling into these traps? Am I doing any of this stuff? And again, the propensity for humans to dilute themselves and kind of cheat on that exists and there's really not a lot I can know about that. But in terms of”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“And whatever your methodology is. There's many ways to make money that there are participants. There are relatively few ways to lose it. I think I've just identified them. Form the checklist. Put that on the top half of a sheet of paper. And on the bottom half of a sheet of paper, write out because you have to have it objectified and down in black and white. Write down the if-then statements or scenarios under which you will pull the trigger to get in a position or get out of a position so that it is now out of your hands. Can you violate that and take the piece of paper and throw it away or tear it up or whatever? Absolutely. But until somebody goes, I think, and puts down a checklist and has something to look at and say, am I doing one of these three things or the little bullet points that fall under each one of those three?”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“I have spoken to a number of people, a lot of people have contacted me over the years. It's been a long stretch. But I think what I've found is because what I try to do is just say, okay, here are the problems, but then now what to do about it. Right. And what I lay out in the back half of the book or the back two chapters of the book is one, having a plan that is developed when you are not in the market. You cannot have a position on when you develop this thing.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Exhibiting these kinds of decisions or these kinds of processes, which is when a crowd forms, a psychological crowd forms and what they do, You'll be catching yourself and identifying that misbehavior and try not to be making emotional decisions. So that's the sort of reader digest version of one of the three things and then sort of like the beginning bullet points that fall down underneath each one.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“can start to recognize and acknowledge what they're up against. And then the last piece is what are the emotions of a group or individual? And again, I'm not talking about being a psychologist or being trained in any of that, but I don't have to be trained in that to know that if your emotions have become involved, what you've done is you have it personalized something. You have now made this a matter of pride or embarrassment or shame or something. Emotions are neither good nor bad. They simply are. They just exist. We experience them. It doesn't matter. Making decisions based on emotions is bad and can be problematic. So in my research and reading, I just found this book from 1905 called The Crowd by a Frenchman, Gustav LeBon, and he talks about the crowd being the single entity that best exhibits emotional decision-making. So I thought, well, if I can go through this and make this part of the construct to explain to people, if you're”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“And then gamblers, that is a disease. There is something wrong there. It is a bedding gone amuk. Money is just a ticket to enter. They're there for the adrenaline rush. And I don't pretend to be an authority on what that is. But it's the other end of the spectrum. But it is one of the categories. But you can gamble in the securities markets commodities markets and currency markets, whatever. You don't have to be in a gambling casino to be gambling if you exhibit the behaviors. And then I go through what the behaviors are.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“I think this happened a dollar, but they took the dollar off the table. It'd be purely a gentleman's bet, right? To where you get bragging rights. I was right. You were wrong, you know, and their chest puffs up and you get to make fun of the guy and, you know, whatever, right? Or pinky bets, right? You have a pinky bet. There's no money change, right? They confuse the profit motive with the profit motive, PROPHET, PRO, PRO-FIT, right? Want to be right. It's not about the money”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Traders are market makers, in my mind. They buy the bidd and sell at the offerings all the days. They go home flat and they are very short time frame oriented, very different from the investor. Speculators buy and sell, go long ago short, not waiting for that dividend interest or rent. They are in for the short term looking for the price differential, the price change. So their time frame is, again, different from the longer timeframe of the investor. Betters are interested in being right. You and I can have, there's not really a very politically correct term for this or updated term for this, but there's a thing called a gentleman's bet, right? Right. There's no money involved. This is bragging rights. Like”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Market participants according to Adam Smith is parting with capital with the expectation of return in the form of interest rent or dividends. Each of those three things are paid on a periodic basis, right, quarterly, monthly, semi-IMIA. You intend to be part of that capital for an extended period of time.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“I'm like raising my hand. I got a book over here. I mean, I'll just sell a million. I don't need five million. Combine a million”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“And gamblers And depending on which one of those five you are is a function of how you're behaving in the environment. So, there are people who can professionally gamble in Las Vegas and they have a system and do whatever. So they're not really gambling. They've got some sort of system and methodology. And I don't really do that kind of stuff, but I've read enough about it to where there are people who do this. And by the way, Edward Thorpe, an academic, wrote a book called Beat the Deal Made so much money that the Las Vegas Resorts and Hotel Association changed the rules of the game. Who went out and wrote a book called Beat the Dealer and Sold 5 Million Copies? And I'm like, what is up with this? This is like the beef bonanza again, right? They change the rules so that you can't use this system, but 5 million people bought his book.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“The other one is the behavioral characteristics of, again, the individual or group. And I think that people mistake the way in which they participate in an activity with the type of activity they're engaged in. In other words, I think there are five types of market participants. I think there are investors”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“When you lose money, people tend to internalize that, they tend to equate self-worth with net worth. And then they start going through this mental process. So being able to identify and capture that lets you know, okay, this is one of the mistakes that you could be making. You have now internalized something that should be external. Don't be doing this. This is a bad thing. I'm trying to abbreviate all this up.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Well, the three points, and again, I kind of backed into it because I had the three things that I was doing wrong. I mean, I sort of thought I had it kind of sorted out. And then I wrote the book, and then I realized, okay, this is really about a light treatise on the psychology of the mistakes that we made. And I thought, well, what does psychology really mean? If I see if I can work this into the book. So, if you look up at the dictionary, it says one of the mental processes behavioral characteristics and emotions of an individual or a group. So basically, the mental processes are that people internalize what should be an external loss. Like if you lose your keys, you don't go through the five stages of internal loss, which is denial, anger, bargaining, depression. You lost your keys. It's no big deal”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Out of the car. So he was stuck in first gear. He was a road hazard, and so I got pulled over because he's in a car that looks like it's going fast when it's sitting still. And he's driving at 18 miles an hour in first gear. So he said it probably saved his life. And what it's worth that, you know, I got a book out of it as well. But that quickly passed from his perspective. He's like, okay, I got saved by a guardian angel or something. I'm never going to do that again. And he went about trying to, you know, piece his life back together after, uh, after that but that was one of the funniest things”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“So he goes downstairs and he has his drinks and he gets in the car and he gets out on the interstate and looks in the rear of your mirror and sees the boy light splashing. So he pulls over and the cop comes up to the window and says license and registration, Mr. Paul? Does you have any idea how fast you were going? 85, 95. He goes, try 18 miles an hour. Get out”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“So he's like, oops. So he goes downstairs to the same restaurant that he took me to have a fun all those years later. And he's like, you know, what am I going to do? And he says, well, the only way to make good on this is I've got about a million dollars worth of life insurance. And the only way to do that is for me to have a few drinks down here at the bar. Everybody knows I drink too much anyway. Then I'll take the Porsche, get out on the interstate out here, and heading home, I'll crank it up to about 100, and I'll aim the car at one of those concrete posts that holds up overhead bridges.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“For family programming, well, yeah, and because the names that have to be changed to protect the innocent and all the rest. So, no, I think one of the funniest stories that I've ever heard came out of his mouth and it was after he lost some money. So he was on the board of governors at the mercantile exchange. He's like in the executive committee. There are like six people making the decisions to be exchange. He drops 1.6 million out of the 1.2 million that he has in 75 days. So they come in and liquidate the position, throw them off the board, and clear out his office.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“His psyche, and he may have been unable to. I don't know. But he had some hilarious stories. And some of them were counted in the book. Some could not be recounted.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“I've lost money, okay? If I lost $15,000 on a trade or over a series of trades or whatever, it's not the same as much as you lost, but you know what? It's the same thing. I mean, you're not the only person who's done this Okay, okay, I get it. I understand. I'm like, so I don't know that Jim was ever able to incorporate what I was saying into his approaches because every once in a while, over the course of the three and a half years I was writing a book, he'd call and he'd say, I did it again. I was up, but then I lost $20,000. I'm like, okay, well, Jim, I have a book for you to read. It's in manuscript form right now, but I'll be happy to send it to you that might help you with that problem because you're obviously not getting it, you know. So I don't know that Jim ever really incorporated it.”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT
“Stories were interesting that my view is that what I presented as the three mistakes that investors and traders make was an overarching perspective from what goes on between your ears that can screw up anybody's specific methodology for how they go about trying to make money. So I didn't think that, I mean, I thought I captured it and then I buttressed it when I looked up the word psychology in the dictionary and I found out there's a three-part definition that matches exactly the three parts. I just went through. So I'm like, okay, the light bulb went on over my head and I just went full bore to get that all worked in. I don't know that Jim really revealed anything to me that wasn't in there. I'll recount one thing that he said to me after I got on the manuscript and he read it. He goes, okay, I know how you got all the story about me and all this goes, but how do you know about all this law stuff? And what goes on in your head? And I thought, Jim, I sold him. I said, you're so vain. You think that you're the only person who's lost money?”
2014-09-16 · The Tim Ferriss Show · Ep 29: What I Learned Losing a Million Dollars, with Author Brendan Moynihan · IDENTIFIED FROM THE TRANSCRIPT