To succeed in the market, as in blackjack, you need an edge, you need to know how to size your bets, and you need the discipline to stick with the system.
Investors
Edward O. Thorp
Born in 1932 in Chicago, Edward O. Thorp is a mathematician who first established the card-counting system for blackjack in his book Beat the Dealer, then applied probability theory to financial markets — co-developing the first wearable computer with Claude Shannon along the way. He created the prototype for quantitative investing, proving that 'mathematics can win' at both the casino and on Wall Street.
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Edward O. Thorp's Other Quotes
In the long run, the house always wins — unless you change the game.
The key to the Kelly criterion is that it tells you how much to bet, which is just as important as knowing what to bet on.
I've always believed that the same principles that work at the blackjack table can be applied to the stock market.
Related Quotes
Between your preparation and your goals, there is one important bridge called discipline.
-- Dhirubhai Ambani
Have patience. Stocks don't go up immediately.
-- Walter Schloss
I've never bought a stock unless, in my view, it was on sale.
-- John Neff
The checklist is there to protect me from myself.
-- Guy Spier
I've learned many things from George Soros, but perhaps the most significant is that it's not whether you're right or wrong that's important, but how much money you make when you're right and how much you lose when you're wrong.
-- Stanley Druckenmiller
Where you want to be is always in control, never wishing, always trading, and always, first and foremost protecting your butt.
-- Paul Tudor Jones