Preview Mode Links will not work in preview mode

Bestselling author Michael Covel is the host of Trend Following Radio with 15+ million listens. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trading -- all passionately explored and debated. Guests include Nobel Prize winners: Robert Aumann, Angus Deaton, Daniel Kahneman, Oliver Hart, Harry Markowitz & Vernon Smith. More guests: Jack Canfield, Howard Marks, James Altucher, Dan Ariely, Jean-Philippe Bouchaud, Kathleen Eisenhardt, Marc Faber, Tim Ferriss, Jason Fried, Gerd Gigerenzer, Larry Hite, Sally Hogshead, Ryan Holiday, Jack Horner, Ewan Kirk, Steven Kotler, Michael Mauboussin, Tucker Max, Barry Ritholtz, Jim Rogers, Jack Schwager, Ed Seykota, Philip Tetlock & Walter Williams. 1200+ episodes.

  1. All Episodes
  2. Ep. 77: Michael Mauboussin Interview with Michael Covel on Trend Following Radio

Ep. 77: Michael Mauboussin Interview with Michael Covel on Trend Following Radio

Nov 7, 2012

My guest today is Michael Mauboussin, an author ("More Than You Know", "Think Twice: Harnessing the Power of Counterintuition"), investment strategist in the financial services industry, professor at the Columbia Graduate School of Business, and board of trustees at the Santa Fe Institute (an independent, nonprofit theoretical research institute). 

The topic is his book The Success Equation: Untangling Skill and Luck in Business, Sports, and Investing.

In this episode of Trend Following Radio we discuss:

  • Luck and skill, how they cross over and play off each other, and how both of those factors have played a part in both Covel and Mauboussin's careers
  • How Mauboussin came to start working on "The Success Equation"
  • How losing on purpose can define skill
  • How sports can provide great examples of what Mauboussin contends regarding skill and luck
  • The human desire and emotional need to tell stories, and how that plays into peoples' difficulty untangling skill and luck
  • Stephen Jay Gould's notion of the .400 hitter in baseball and the paradox of skill
  • Physical limits and improvement in skill over time
  • Sample size issues
  • Process vs. outcome
  • What to do when you're the underdog and how complicating the situation can help when you're in that position
  • Improving your guesswork on where you are in the luck-skill continuum
  • Persistence and predictive value
  • Building skill

Jump in!

---

I’m MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I’m proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show.

To start? I’d like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/

You can watch a free video here: https://www.trendfollowing.com/video/

Can’t get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast

My social media platforms:
Twitter: @covel
Facebook: @trendfollowing
LinkedIn: @covel
Instagram: @mikecovel

Hope you enjoy my never-ending podcast conversation!