Great profile about a passive pension investment manager in Nevada
Steve Edmundson directs Nevada's $35 billion public pension plan. He's a one-man show and believes in passive investing and keeping costs low, according to a WSJ profile.
Trading forex is far from passive investing but his approach and simplicity have some lessons. One is the difficulty in doing nothing. Overtrading is a huge problem.
"I spend a lot of time researching things we ultimately don't do," he said.
He is also able to stay calm and keep the big picture in focus when trouble hits. Edmundson said he didn't miss any sleep after the Brexit vote.
A stock-market drop of several percentage points, he says, "isn't even going to get my heart rate up."
He doesn't get too bogged down in the small details as well.
"The wine industry tends to be portrayed as something complicated and difficult with fancy terminology," he says. "On the investment side, it's really similar. You can focus on the small details rather than the big picture."
Those are all great lessons from the profile but the best one is this: control costs. All those pips add up.
