Active Investing: Lessons Learned

#MotleyFool
The one constant in life is change, even for great investors. Earlier this year The Motley Fool Co-Founder, David Gardner announced that he was changing his focus. As he told fellow "Fools" as the global online investing community members jokingly refer to themselves:
"....where you place your focus in life matters, and now I am choosing to shift my focus from the stock market and invest time in other endeavors. After nearly 30 years focused on publicly picking stocks, this wasn't a decision I took lightly."
It wasn't a decision The Motley Fool team, members, followers, and at least one member of the financial press, namely me, took lightly either, which is why I wanted to talk to David.
The good news is Gardner is not totally leaving the fold. He is Chairman of The Motley Fool Foundation, devoted to bringing "financial freedom to all."
He remains Co-Chairman of The Motley Fool with fellow Fool Co-Founder and younger brother Tom, a very successful investor in his own right, who has also been managing and growing the business as CEO.
David Gardner will continue as Chief Rule Breaker "for life" he expects, and he will continue his weekly podcast, "Rule Breaker Investing," in which every ten weeks he recommends what he calls a 5-stock sampler theme, culled from The Motley Fool's Stock Advisor and Rule Breakers picks.
I asked Gardner to take us through his Rule Breakers rules. What are the lessons he's learned from three decades of active investing?
00:00 Hello
00:43 Introduction
02:32 Interview with David Gardner
23:15 One Investment
21:42 Action Point
WEALTHTRACK #1816 broadcast on October 15, 2021
More Info: wealthtrack.com/3-decades-of-...

[@supersteve8305]

Great interview. I love your show. Been watching since PBS.

[@ivailoruikov5558]

Another wonderful interview! Thanks 👍

[@somchai9033]

Still trying that Foolish Four Dogs of the Dow strategy you recommend on the 1990s. It hasn't worked yet.

[@Herschauen]

The dogs of the Dow strategy didn’t work for them, so they discontinued it. Nothing wrong with that.

[@somchai9033]

Bet you bought his recommended stock here Docusign haha

[@M.-.D]

Fantastic interview!

[@chessdad182]

Category leader is a good philosophy.

[@somchai9033]

Docu sign now down 80%. Good job Gardner.

[@johnott4149]

Passive investing

[@SKWDMDYT]

All great in theory, but at the end of the day I hate Motley Fool click-bait and won't fall victim to it anymore. Any article by Motley Fool on Yahoo Finance immediately skipped over. And of course we need to see what happens during market downturn which hasn't occured in 13 years except for short lived freak March 2020.

[@jj4321]

One word to raise your awareness: Archegos.

[@JesseDayKR]

Great interview and I love the show but a lot of obvious edits here while David was in the middle of speaking. Would much prefer you just let the show run longer and include everything your guests have to say.

[@jj4321]

Recently I saw Maxwell spent huge amount advertising on Shark Tank commercial with actress Melissa Joan Hart. Wow! Maxwell spent huge amount advertising, competing coffee again. They were winner back then before Starbucks (old timers know better)

[@nikovelikov]

who are the companies that are taking us to new places?

[@jj4321]

Watch out the firms who spent a lot on marketing, whose money they are spending! And fees!

[@jj4321]

Mission to live on Mars (with Earth's supply?!) Why don't you fix Earth's problem first? Instead attracts billionaires to space tour? Exploration when homeland in decay, that was how Ming dynasty ended!!! (After exploration 1462 etc. Onward)

[@somchai9033]

How's that Docusign pick working? Lol. These guys fleeced investors in the 1990s and still doing it. Bombard you with ads and use Warren Buffett quotes and likenesses often. They are the middlemen croupiers Jack Bogle warned us about.

[@jj4321]

I will be very careful with fool. The name says all.

[@mustavogaia2655]

My comment is not properly about this guy, but always sound s a little odd when a fund manager/financial advisor tells "enjoy your loses", "it is good when the prices of your shares falls; buy more", because most of their compensation is steady as they are not tied to the perfomance of the portfolio. Yes, the 2-20 scheme has a perfomance incentive on it, but whatever happens, as long as the money is in the fund, the 2% per year is going to the fund/advisor.

[@jj4321]

Even my diversified instrument (US market) investment I put in myself 2017, gain 91%, Why do you need fool and fees!?

[@jj4321]

I want him to show his worse pick. Every body says they had predicted Amazon, Apple. Lol. He can't even predict which sports team going to win.

[@jj4321]

Your diversification should be much more than 20 company. You should stay in the market for sure.

[@seandelaney1700]

Half that is enough for me, otherwise I'd just buy ETF's and index funds.

[@Xyz19781i]

i thought he was younger of the brothers

[@brianhollenbeck8633]

🙂👑🌍🌏🌎👍

[@guvya]

It seems like he was lucky

[@user-ub7wz1gr8d]

Thanks for watching. Got something big to share, leave a Msg if you can.

[@user-ub7wz1gr8d]

±𝟷𝟿𝟷𝟼𝟼𝟽𝟾𝟶𝟶𝟸𝟾

[@vincentmaldon7707]

Love Consuelo who is tops in asking the best questions. Not impressed with the responses from this guy. What's with all the ball talk? He seemed to go on and on and not really give out much substance.

[@aaron159r2]

So...I take it he's not a fan of the small cap value stock factor outperformance over the last century? I guess just keep piling into the growth leading FAANG and Tesla-type stocks and hope record CAPE ratios just continue flying higher. Meh, I'm not sold on this guy. Sounds like his success comes from the typical hindsight/lookback period bias. In every generation, there will be a hand full of stock pickers that come out significantly ahead based on luck alone. Of course these pickers are going to be advocates of last decades winners, that's probably how they were coronated into the top in the first place. I still think picking stocks is a fool's games and over time, most stock pickers lag the market index averages due to transaction inefficiencies, higher fees and performance chasing. Whatever. -2 cred for Wealthtrack.

[@davidchang8428]

David Garder is an outstanding stock picker. He belongs in Wall Street Hall of Fame, along with Buffett, Munger, Lynch, Vinik, Bogle, and Templeton.

[@somchai9033]

Hahaha ha and he recommended Docusign on this video down 50% and still falling how much did he pay you? I wish current investors were able to go back to the 1990s and look at all the BS these guys spewed. They've purged everything though. Wall of Shame with Bernie Madoff.

[@quairan2099]

I disagree with 20 holdings. I'm good with just 5-7. The more volatile my portfolio, the better. I want my growth to move fast. Everyone is different so the main thing is to just invest. Period.

[@simpleventures]

Unless you’re really lucky, the research suggests investors might need to own 25 stocks or more to capture that one company that rises exponentially.

[@emrahtestere5372]

This guy hasn't mentioned about index investing which is probably the best for the average guy but not good for his foolish business. At the same time, he is signaling virtue through his big theory of conscious capitalism. These guys are really professional liars but nothing else.

[@Rational_Investor]

I wonder if The Motley Fool has devised an ETF that would include a basket of their so-called "best picks" or whatever they call them. One could conceive this to be a sound investment with a good return that was broadly diversified....

[@somchai9033]

The late great Yale manager David Swensen called them charlatans. He was spot on

[@jj4321]

Only in America, you can create a fad like Starbucks, sucking $5 a day, full of sugar (which added to diabetes cost), from mass followers, for a cup deliçious coffee you can make at home. Then complain they don't have money.

[@blackfiree91]

4% of stocks are responsible for the return of the total market. Why actively invest? Lol he even claims to have lost money from bad stock picks. He laughs. I laugh. Everyone should laugh at active investing. Don’t do it. Just buy the index fund.