The best advice I was given when just starting out managing a hedge fund was from Tim Tachi, the founder of London-based hedge fund, TT International.
His advice was simple, practical and easy to implement, as often the best advice is.
I was told that if I had a position in my portfolio that was a constant source of concern and angst, then I should close the position so as to focus on the bulk of the portfolio.
This has served me well on a number of occasions, not least in times of market turmoil.
The week on Risk.net, August 4–10Receive this by email