Mental Models
Temperament
Staying rational when the tape and the crowd are not. These models are less about analysis and more about not doing something stupid under pressure.
Mr. Market
The market is a manic-depressive business partner, not an oracle.
Circle of Competence
Know the boundary of what you understand, and treat it as a wall, not a suggestion.
Loss Aversion
Losses are felt roughly twice as intensely as equivalent gains, and that asymmetry quietly drives bad decisions.
Patience as a Position
Choosing to do nothing is an active decision that deserves the same scrutiny as a trade.