Tuesday, October 05, 2021

Price Is Primary - a new book from Jonathan Hoenig

There's nothing conventional about investment manager, author and media personality, Jonathan Hoenig.  Even the name of his hedge fund Capitalistpig, defies comparison.  

Years ago, I recruited Jonathan Hoenig to speak at financial industry events and then I began to notice his frequent TV appearances on Fox business programs.

Characteristically, in his new book with Stuart HayashiPrice Is Primary: how to profit with any asset in any market at any time Mr. Hoenig challenges several fundamental principles that some retail investors hold as immutable, even if professional traders do not.  

Consider dollar cost averaging; Hoenig argues instead that an initial purchase of a security should be your largest one, then on the basis of rigorous observation and disciplined use of rules, one should quickly pare losses or "let the winners run."  Rebalance your portfolio?  No, not a strategy he embraces.

Similar to some of his prior published work, Mr. Hoenig fuses elements of Objectivist philosophy and history to the art of investment management in some imaginative ways that may animate traders and non-traders alike.  The book is easy to read and worth a look.