Quote to Ponder
“The most important quality for an investor is temperament, not intellect. You need a temperament that neither derives great pleasure from being with the crowd nor against the crowd."
Recommended Links
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- The Bubble No One Can Sell | Dan Rasmussen on the Private Equity Trap - YouTube Video
- Stocks Can Go A Long, Long Time With No Returns - Meb Faber Research
- American Unexceptionalism - GMO
- The Parallels of Past and Present in Finance - Mark Higgins - The Meb Faber Show
- Elie Hassenfeld - (Approximately) Optimal Philanthropy - Rational Reminder Podcast Episode
- Mind the Gap US 2025 - MorningStar
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Recent Content From Quarry Hill
If you’ve been following along on social, you may have seen some of our new videos and resources. Here are a couple of our recent favorites:
A note from Kyle Moore, CFP®
Imagine this: you’re glancing at your portfolio and one fund looks like it’s dragging down the whole thing. It’s red. It’s lagging. And you wonder: Why do I even own this thing?
Welcome to the emotional cost of investing.
No Strategy Works All the Time
Every investment strategy whether it’s value, momentum, quality, growth, small cap, international, has its moment in the sun… and its time in the dark. There’s no magic formula that works in all markets, in every cycle. If there were, everyone would pile in and the advantage would vanish.
This is why even the smartest, evidence-based strategies, backed by decades of academic research, can go years underperforming the broader market. It’s not because they’re broken. It’s because nothing works all the time.
Diversification Guarantees You’ll Be Disappointed by Something
Being diversified means never having all your money in the best-performing thing. But it also means never having all your money in the worst-performing thing.
It means you're always going to own something that looks like a mistake in hindsight. That’s not a bug. That’s a feature.
A well-built portfolio is like a symphony. Not every instrument sounds beautiful on its own—but together, they create harmony. If everything you own is up at the same time, you're probably not diversified. You're probably concentrated and lucky (for now).
The Reward is Because of the Pain
Long-term investing rewards people not in spite of the discomfort, but because of it. The reason certain investments (like small value stocks) offer higher long-term returns is because they test your patience, your conviction, and your stomach. Most people give up when it's hardest. If it felt easy, the premium would disappear.
This is why emotional resilience is one of the most valuable traits an investor can cultivate. It’s also why working with an advisor can be so powerful: not because we predict markets, but because we help you stay in your seat when the roller coaster gets rough.
If It Feels Painful, You're Probably Doing It Right
There will always be parts of your portfolio that make you question your choices. That’s okay. The goal isn't to avoid discomfort. It's to understand it, anticipate it, and not let it derail you.
Because the reward for the pain goes to those who endure.
This material is intended for educational purposes only. You should always consult a financial, tax, or legal professional familiar with your unique circumstances before making any financial decisions. Nothing contained in the material constitutes a recommendation for purchase or sale of any security, investment advisory services or tax advice. The information and opinions expressed in the linked articles are from third parties, and while they are deemed reliable, we cannot guarantee their accuracy.
