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Tue Jan 15, 2013, 12:54 PM

Cat Beats Professional Wealth Managers at Picking Stocks

Everyone knows that cats are good at cuddling, catching mice and starring in viral videos. But it turns out they are pretty good at making money, too.

A cat named Orlando has bested several professional money managers in The Guardian’s 2012 investment challenge, making almost £400 (about $650) more than the professionals during the year-long challenge. The British newspaper pitted the ginger tom against a wealth manager, a stock broker, a fund manager and a team of finance students from a Hertfordshire school. Each team chose five companies from the FTSE All-Share index in which to invest £5,000 (about $8,000), with the opportunity to change stocks every three months, and then let their strategies play out over the course of the year.

http://newsfeed.time.com/2013/01/15/cat-beats-professional-wealth-managers-at-picking-stocks/

Kitty needs some bodyguards. Banksters just might catnap him.

19 replies, 1269 views

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Arrow 19 replies Author Time Post
Reply Cat Beats Professional Wealth Managers at Picking Stocks (Original post)
meow2u3 Jan 2013 OP
xchrom Jan 2013 #1
joeybee12 Jan 2013 #2
valerief Jan 2013 #4
joeybee12 Jan 2013 #5
bullwinkle428 Jan 2013 #3
AZ Progressive Jan 2013 #6
Danascot Jan 2013 #8
MadrasT Jan 2013 #7
AngryAmish Jan 2013 #9
cbdo2007 Jan 2013 #15
Egalitarian Thug Jan 2013 #10
sinkingfeeling Jan 2013 #11
KamaAina Jan 2013 #12
Guy Whitey Corngood Jan 2013 #14
Guy Whitey Corngood Jan 2013 #13
Rex Jan 2013 #16
BlancheSplanchnik Jan 2013 #17
Agony Jan 2013 #18
Prometheus Bound Jan 2013 #19

Response to meow2u3 (Original post)

Tue Jan 15, 2013, 01:01 PM

1. Well of course - he's a Ginger.

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 01:07 PM

2. Not a surprise...

Cats are smarter than investment bankers

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Response to joeybee12 (Reply #2)

Tue Jan 15, 2013, 01:17 PM

4. That's because cats have souls. Investment bankers don't. nt

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Response to valerief (Reply #4)

Tue Jan 15, 2013, 01:19 PM

5. Very true!

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 01:12 PM

3. Several years ago, I heard a very similar story involving monkeys! And the "pros" allegedly

"managing" my 401K account keep wondering why I don't pay the extra fees I could to have them actively moving money around the various account options on a regular basis!

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Response to bullwinkle428 (Reply #3)

Tue Jan 15, 2013, 01:26 PM

6. It seems the only thing they are selling is truckloads of bullshit

That's the way to make money nowadays. Shoveling and pushing bullshit.

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Response to AZ Progressive (Reply #6)

Tue Jan 15, 2013, 01:50 PM

8. Great post & great comments

Came here to make a similar reply but y'all beat me to it. Thanks all!

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 01:48 PM

7. I for one welcome our feline overlords.

They already run my house.

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 02:09 PM

9. A Random Walk Down Wall Street was published forty years ago

As close as you can come to truth in equity investments is that you can only consistently beat the market by using inside information or be Warren Buffett (and those two mix up a bit probably).

Yet people think they can beat the market. They can't over time. People ,may get lucky, even several years of lucky. Eventually the luck runs out.

As for your 401k, get an indexed fund. No loads. Cheaper.

The only reason to hire a stock picker is if you think they are a criminal and trades on inside information.

This is why shows like that Cramer guy are infuriating. He does not know what he is talking about. Nobody knows. The future is inherently unknowable.

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Response to AngryAmish (Reply #9)

Tue Jan 15, 2013, 04:50 PM

15. Markets are unpredictable.....companies are very predictable.

The infuriating thing about Kramer is that he makes people think you should pick stocks based on buzz companies you read about in the news, and not by doing hours and hours and hours and hours of research on companies and their earnings and stuff. He has an entertainment program where he must pick 10 winning stocks (at least) and 10 losing stocks (at least) EVERY SINGLE DAY!!!

It's not difficult for an analyst to pick winning stocks, it's really about knowing when to buy and sell that is the tricky part, and besides that just takes hours and hours and hours and hours of research. I'll easily put in 20+ hours of research on each stock that I invest in, and the reward is that I rarely pick one that loses money during my target time frame.

You are correct though, 99.5% of people should put it all in an index fund.

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 02:11 PM

10. Did the monkey die?

 

Oh I see, this is the European version.

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 02:41 PM

11. Pay that cat $225 million a year and give him stock options and a golden parachute!

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 02:48 PM

12. I can haz bonus?

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Response to KamaAina (Reply #12)

Tue Jan 15, 2013, 04:13 PM

14. "I can haz goldin parachute!"... Sorry, couldn't resist. nt

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 02:49 PM

13. Cat was caught unaware by hidden camera.



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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 04:52 PM

16. Cats are the superior creature in this case.

And I am so not surrounded by them now, nor did they force me to say that.

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Response to Rex (Reply #16)

Tue Jan 15, 2013, 07:24 PM

17. ....

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 08:00 PM

18. Orlando the Casino Cat!

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Response to meow2u3 (Original post)

Tue Jan 15, 2013, 08:16 PM

19. Oh, that would be so depressing.

To dedicate your entire life to becoming an expert and to be paid millions for your advice, only for your clients to find out that they can get better advice from an uneducated cat.

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