CNBC's Gary Kaminsky Writes ‘Smarter Than The Street’
Gary Kaminsky is the cohost of CNBC's "The Strategy Session" and has been one of Wall Street's savviest money mangers in recent history.
In his new book, Smarter Than The Street, he brings more than two decades of experience to his low-risk, high return system, demystifying Wall Street for novice and seasoned investors alike.
While working for Neuberger Berman, Gary built his Street reputation overseeing nearly $13billion in assets. He and his team were able to grow record-breaking returns far above the S&P benchmark – and he says they didn’t do it by magic. Instead, they had a specific strategy.
Now he’s sharing that strategy with readers.
In his book Gary shares with readers how to:
- Develop the same habits, reflexes and practices of top market performers
- Create a proactive buy-and-sell strategy
- Beat the roller-coaster market trends-and focus on long-term returns
- Make smarter, more informed decisions – and more money!
Joseph V. Amato, president of Neuberger Berman has written the foreword in Gary's book and says, "Smarter Than The Street", should enable almost any reader to become more knowledgeable and disciplined, and ultimately, a more effective investor."
Continue on to the following pages to read a guest blog by Gary and an excerpt from his new book, Smarter Than The Street.
THE SIGNIFICANCE OF CONTRARIAN THINKING
Guest Author Blog:Smarter Than The Streetby Gary Kaminsky.
It takes a great deal of fortitude to make it as an individual investor. Over the past two decades, I have witnessed too many of them fall victim to the Wall Street machine. The injustice concept led me to write Smarter Than The Street, a guide full of lessons learned and lessons I wish to impart. Providing tools to succeed through all market conditions is an achievement for which I have aspired in documenting my experiences.
In Smarter Than The Street, I specifically address the importance of psychology throughout every challenging episode of investing. Mental discipline might very well be the most important facet to master. I write in the book that, "passivity is the enemy," to counter the point made by Wall Street marketers who attempt to sell the contrary position.
But to be active, one needs to know the correct direction, and here's where my way of thinking separates from the pack.
Many times on CNBC's "The Strategy Session"and in my K-Calls, I have stressed the significance of contrarian thinking. This is where the fortitude comes into play. When the wisdom of powerful and influential Wall Street minds are instructing smart money to go one way, it takes courage and patience to go against the herd.
Am I implying that the masses are always wrong? Not necessarily. But overcrowded trades quite frequently reveal real truths. The majority of investors do not make the right decisions at the right time. If you believe this like I do, why would it not make sense to be a contrarian?
This is why I devoted an entire chapter to, "Taking The Other Side of The Trade." It takes a certain intelligence in anticipating trends, observation of market behavior, and quite simply, the right amount of guts. But if you consider the two sides of every trade in the capital markets, and why each side is chosen, contrarian thinking will make more and more sense.