YouSaid · the spoken record

Michael Covel

lines on the record: 142
first: 2016-01-08
most recent: 2016-01-08
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 think the synonymous with practical. Pragmatic, right? He just breaks down. So, you know, if you, I imagine walking into his office as he was a practicing psychiatrist, walk in and he's going to take whatever drama you might have and break it down to its component parts and get you to think about each of the component parts. Once you do that, it's not so scary. I mean, that's the brilliance of what somebody like Brett does.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Look, the vast majority of us, if we live okay, etc, we're going to be fine. Something's going to take us all out at some point in time. But too much testing. Too much of this stuff is absolutely harming us.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“You just like saying that. Oh, he's awesome, though. Risk savvy, one of his most recent books. One of the things that he talks about, it's not necessarily trademark. It gets you in the probabilities mind frame, PSA test. Like, you know, here, I'm 47. You're probably about the same age as right. You know, so everyone wants men to go do these tests. Do these tests. These tests kill us. These are not good things. We're all going to have prostate problems at some point in time of our life. But the vast majority of us don't need the after effects of a PSA test. Incontinents and all kinds, you know, you're wetting your jeans. Who knows what's going on? We don't want that kind of stuff. So Gerd points out that you have to look more closely at the numbers and don't just let the fear drive you.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Then you're just playing the board game risk. You're playing chess. You're playing whatever skill game. You're applying the rules. When you think back when you were a kid, didn't you play risk as a kid? When you're a kid, you play the game the right way. You don't play it based on whether or not I can go to the Apple store and buy the newest iPhone today. Right. That's”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“There's a great trader out of London. We'll probably end up talking about him, David Harding of Winton Capital. And I saw him make the comment recently. It's Once you reach that point where money is not an object, you're trading improves.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Absolutely, because look, we know what money can be used for. We're both in New York City. The streets are littered with gold. There's all kinds of toys we can buy. There's all kinds of fun things to do.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“They behave in all the wrong ways. They behave in the ways that don't help them. I mean, look, this is about measurement. You have to measure how much money you have at all times. And if you can't do that.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“How does one, they look, you can look at two, you can look at a number in two different ways. You could 85% being right, 15% of being, you know, wrong. I mean, there's”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“But I think the average person probably hears that story and they still think, oh, you know, it's seat of the pants. It's instinct. It's go.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Terrible, right? I mean, especially if you look, I say terrible that people could say, hey, that's Mike Covell's opinion. Terrible if you look at the track records of the traders that have got durations going back decades, what do they do? It's systematized. They have rules. This is not a day-to-day guessing game. Not”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I think many of the traders actually had figured out long before it's not taking anything away from common, but clearly many traders had figured this out. I mean, David Ricardo back in the 1700s, they had figured out lost reversion many, many, arguably centuries before they gave out the Nobel Prizes for it.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Loss aversion. Nobody wants to take a loss. I happened to have lunch with one of the guys that was profiled, and Jack Schweger's book, Larry Height. Larry is famous for just saying, you know, risk management. How much can you afford to lose? That's it. All the academics can have all the complicated stuff and all the white papers. How much can you afford to lose? That's your risk management. And that's loss aversion tied in with Kahneman. That's just.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Nazi soldier sits him down on his knee, pulls out his wallet, and opens up his wallet and shows him a picture of his son. They both spoke different languages and they shared that experience. And Kahneman said, that was what... Was what triggered me into psychology that that fascinating moment I want to study people for the rest of my life. Kahneman just realizes wow, what we think we know about people is all wrong. Those quick judgments, there's the Nazi soldier. He's going to kill me. I'm a Jew in Paris on the streets. I'm going to be killed. Didn't happen. And that caused him to reassess, take a step back and say, how can I look at psychology for the rest of my life? He really knew at that instant. That's amazing.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Walking the streets, and a Nazi soldier spots him. Nazi soldier says, Come here, come here. Now, sure, Konman's thinking at that time.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Somewhere in Chapman in California But once I had those guys on, I went for the home run. The home run guest, the one guy that I knew if I could get. Was going to really help my podcast. And that was Daniel Kahneman, who won the Nobel Prize. Shared it with Vernon Smith. And so I had asked him six months prior no response. Then I sent him an email knowing that he had won the prize the same year as Vernon Smith. They shared it. And I sent a link to Vernon Smith and he wrote me back and he said, I listened to that podcast with Vernon Smith. It's very good. And sure, I'll come on your show. And the thing that he said that was so amazing to me, it's not related to making money or investing, but he was in Nazi-occupied Paris. And there was a curfew. And he was not supposed to be out. And he was six, seven, eight years old.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah. And I should, there's a timeline of guess that broke the podcast. First was Jack Schwagger. And then my first guess to My first non trading guest was Dan Erley. And then once I got Dan Erley, I had a guy on who had been in my film named Vernon Smith, who won the Nobel. Sure.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Right. My premise being is it broke the new American jury? People want to be broke because their actions are so irrational.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I was working on a new book. And I knew it wasn't going to be coming out immediately. And I just, I don't know. It was just, it was just something where it was in my soul. I want to do this. I want to talk to people. Look, I had done a film. I'd made a film. I had traveled the world for several years. I'd had a chance to sit down and do long-form interviews already.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“So it was just really, and one thing led to another. I remember Jack Schweger, who wrote the book, The Market Wizards that you mentioned, when he came on, that was when I saw my first pop because it had been two or three months of, okay, listens are going up. And then when Jack came on and he was promoting a new book, that was like boom. And what's exciting when that stuff happens, right?”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“When you listen to really smart people over and over again, I really find myself calmer. I started it in January of 2012. My last book came out before that, about six months before that. And I don't know. I had done short brief podcasts several years before like five minute little speech segments. And I just decided, well, okay, I want to do a podcast. It was completely on a LARC. It was just, let's do it. And this was before what iTunes looks like today.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Oil, the equity indices, the interest rates, the currencies, the big liquid movers. Number two, when are you going to get in? What's going to force you to get into a position? Number three, how much are you going to bet? Can't bet on limited. You know, you're going to bet a half percent, one percent, 10%. I can't tell you how many times I'm giving a presentation. I'll ask an audience. It could be an audience of a thousand people. How much would you bet on each trade? People actually say 10%. Look, come on. You know what's going to happen at 10%. The last four and five. When do you exit this trade with a winner? When do you exit this trade with a loser? What does this all look like when it's crunched through the system? You're basically a venture capitalist. You're basically a film financer. Jason Blum, he finances films, right? How does he do it? He bets on a bunch of things that cost very little money and he'll get one big paranormal behavior or whatever it's called.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I don't think the instrument is critical. It's important. I mean, futures are the best instrument. You got the leverage, you got the liquidity, that's the best place to be. But you want diversification. You know, if you wake up and it's early 2014 and every economist out there is saying, hey, we don't see anything happening for oil. And there's no prediction of a 60% drop in oil. But if you're a trend following trader, you don't have a mindset or a prediction of where any particular market's going to go. So when it starts to move, you're just following along. You're following the crowd, your indicator, your reason for moving is the price action. That's it. So if you think about trend following, think about with like five kinds of ways to think about trend following five rules. First, what's the portfolio you're going to trade? You can't trade everything. So generally trend following traders historically have chosen diversified portfolios, your goals, your”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, I mean, we're just, we want to get rich fast. And, you know, if we start losing money, we just think it's going to come back and then we lose all of our money.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, the way I would answer that is the turtles were just trend following traders And so they weren't the only trend following traders. Rich Dennis had peers, peers like Bill Dunn and Ed Sakota and Keith Campbell and David Harding and Larry Height. And all of these guys unaffiliated with Rich Jennis were running trend following firms. So if you just look at the history of this, you say, well, why does trend following keep working? Why is it not broken down? Well, when is human nature going to change?”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“You know, one of them became, well, all of them started money management firms, most of all of them, and most of them did extremely well. I mean, making millions of dollars, you know, the typical success mark everybody sees. One of them in particular, Jerry Parker, managed over several billion for probably 20 plus years and just made himself an incredible fortune, one of the most plain-spoken, plain-talking guys. And if he was here right now, he'd be saying, hey, it's all my success. It's all because of Rich Dennis. Rich Dennis was kind enough to say, here's how I made a fortune. Here are my rules. Go do it.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“I never question it again myself. I think a lot of people still hear that story and question it. I saw that story and I was like, I saw all the backgrounds and I said, that's it. Even if I never want to do trading, I have to accept this as truth.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“The end of that three and a half year period, that group of approximately 20 had made $100 million profit. I actually went to the NFA, the National Futures Association, and I pulled all the original documents when they left the program to go register as money managers. They literally, it was like waiter, kitchen help. I mean, some of them are very brilliant. Nonetheless, they had gone to great schools and stuff, but it was a completely ragtag disparate random, completely random. It was awesome.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“They put ads in Barrons and Wall Street Journal. They hired trainees. They got like 2,000 applications. They gave a screening test of a true false question asking what your favorite movie was, these types of things. And they selected about 20 people over two years. They gave them approximately two weeks training, staked them with varying amounts of cow from a couple hundred thousand to a couple million. They basically turned them loose for three and a half years.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Million dollars, real money. That's a lot of money. I think there was about, he had made about 200 million total by like 82, and he was about 37 years old. And what I'm about to say is absolutely true. Him and his partner, Bill Eckhart, they went to see a movie, and the movie was Trading Places with Dan Ackroyd and Eddie Murphy. They went to see this movie. They walked out and his partner, Bill Eckhart, said, hey, Rich. You, we can never do that. You're a savant. You're brilliant. They took a guy off the street. What a silly story. We can never do that. And Rich said, uh-uh, I'm not special. We can teach people to do what I do.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Fascinating story, and there's still to this day a myth and legend and perhaps some superstition. People debate things. But here's the bottom line. Rich Dennis had made his first million by the age of 25 in 1976 as a floor trader.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“After all of this, I decided to put up a website. And I ended up, and I'm not going to go into it yet because I know you want to come back to it, but putting up a website, my first blog in 1996 was really what got me started.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“A lot of work. It's exhausting. It's draining. Especially the bills are stacked up on the ground and you have to pick them up. It's heavy.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“He didn't want to talk much more than that. Pretty shy guy. If anyone's ever met him, not a very big guy, but that was all he wanted to tell me. And he looked beat up.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“His advice was short and sweet. Because I said, I was looking at him like right after he was on the other side of the Berings Bank trade within months of that. And he said, he looked at me and he said, you know. It never gets easy losing money for people.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Well, it kept going on for about another year and I kept bumping into other people. I was literally coming to conferences and just seeing who I can meet, who could I knock on the door. I went to see Bill Dunn and Stuart, Florida, a longtime trader, 40-year track record. Sure. I found John Henry in an event and approached him. I still remember his advice. What you would do?”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Number 35, number 37, somewhere in there was a guy named Jerry Parker. And he had just made $35 million in one year, and he was a turtle. And that fascinated me because I was like, uh-oh, there's something going on here. This guy's not an economist. He doesn't know every piece of fundamental information in the world I might be able to do this.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Exact same time I was having that conversation, I was in Borders bookshop in Tyson's Corner, Virginia about one month later. And this is 1994, and I see a magazine. The magazine was Wall Street's top 100 paid for the year nineteen ninety three.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“He said, you told me today that you want it to be the best. You don't want to be the best. You just want to win. Now let's go back to my office and let's talk. That was my indoctrination to Wall Street.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“So he took me out to lunch and I didn't know anything, but I had found my way. This is my very first guy I'm going to talk to on Wall Street. Takes me to a little French diner. We start chatting or I start chatting. He's not saying a word. I'm just like, oh my God, this guy's going to make or break me. He's not saying a word. So finally, I said to him, I said, while he's munching on his salad, I said, hey. Did I say anything today where you thought I was full of blank? And he said yes.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“Is unrelated I was there and I Knew okay. I'm going back to the States. I want to figure out a way to get rich. The classic I'm going to get rich. And when I went back, I'd gone to grad school at Florida State, and the only alumni that I could find that had graduated from Florida State literally was the recently retired CEO of Solomon Brothers, Jim Massey. He had just made like five, six million bucks, and you know, in 1993, 1992, that was a good amount of money, you know. And so I bugged him. I took the train up to Greenwich. He was right there in those two buildings alongside the tracks right at the train station, right”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“So, you know, one thing led to another. I ended up in. Grad school taking a last semester in my early to mid 20s in London.”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source
“He was only in the Navy for a little while and they started private practice. I grew up in Vienna, Virginia, right outside Quantico, about an hour and a half away. Political science major. I mean, that's not exactly a prelude to writing trend following, right?”
2016-01-08 · Masters in Business · Interview With Michael Covel: Masters in Business (Audio) · IDENTIFIED FROM THE TRANSCRIPT · source