The Only Three Questions That Count
Über
The Only Three Questions that Count: Investing by Knowing What Others Don't is a book on investment advice. It was released in December 2006 and spent three months on The New York Times list of "Hardcover business bestsellers" . It was also a Wall Street Journal and a 'BusinessWeek best seller.In the book, Fisher says that because the stock market is a discounter of all widely known information, the only way to make, on average, winning market bets is knowing something most others don’t. The book claims investing should be treated as a science, not a craft, and details a methodology for testing beliefs and uncovering information not widely known or understood. The book’s scientific method consists of asking three questions:
What do I believe that’s wrong?
What can I fathom that others can’t?
What is my brain doing to mislead me?
The first question addresses common investing errors, the second shows how to try and find bettable patterns which others may misinterpret, and the third deals with behavioral finance, pointing out cognitive errors such as overconfidence and confirmation bias.
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