Howard Marks: Judgment

“There can’t be a rule that always works…. These things cannot be reduced to a rule. The market operates so as to confound rule makers…. It all comes down to judgment. If we’re going to have superior investment performance we have to have superior judgment. You can work on your processes, both intellectually and emotionally, but superior judgment isn’t something you can order up. And not everybody can necessarily attain it. I think that one of the most important things is to dismiss the concept of a process or rule that always works in the absence of superior judgment.” —Howard Marks.