Name: Joel Greenblatt: "The Little Book that Beats the Market" | Talks at Google
Uploaded: 2018-07-23T03:10:29.000Z
Duration: 56 min 8 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

SPEAKER: Joel Greenblatt, our guest for today,

We could not be more thrilled and more grateful

than to have him accept our invitation and be here.

I've never been here before, so I'm looking forward to my tour

So even Warren Buffett says the vast majority of people

So are there any questions, or do I have any time?

Then again-- well, I have time, so then again, Warren Buffett

doesn't index and neither do I. So I thought I'd tell you why,

and then maybe you'll have some more information

to decide for yourself what makes sense for you.

And in a sense, it shouldn't be that hard.

Actually, I had a friend who's an orthopedic surgeon

and is in charge of a group of orthopedic surgeons.

And he asked me to speak to them at a dinner,

And I said, OK, these are smart, educated guys.

explaining how the stock market worked and everything else.

And then I started getting questions along the lines of,

asked to teach a ninth-grade class, a bunch of kids,

and I didn't want to do that with the kids.

And so I walked into class the first day,

and I handed out a bunch of three-by-five cards.

And I brought in this jar of jellybeans right here,

the students passed around the jar of jellybeans.

I asked them to count the rows, do whatever they wanted to do,

and write down their best guess for how many jellybeans

And I said, listen, you can keep your guess

and asked people how many, and wrote down the various guesses.

So it turned out, the average of the guesses

for the three-by-five cards was 1,771 jellybeans.

The guess when I went around the room, that was 850 jellybeans.

And I explained to them that the stock market's actually

second-guessed, because everyone knows what they just

read in the paper or what the guy next to them said,

what they saw in the news, and are influenced

And that was the second guess, and that's the stock market.

Once a year in my class at Columbia, at least

for the last five, six years, somebody raises their hand

and asks a question that goes something like this--

But now there are more computers, there's more data,

So my students are generally second-year MBAs--

I tell them, let's go back to when you learned how to read.

Let's take a look at the most followed market in the world.

Let's take a look at the most followed stocks

within the most followed market in the world.

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Joel Greenblatt: "The Little Book that Beats the Market" | Talks at Google

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