Investing lessons to learn from maths and gambling

The other day I came across a thread on Twitter where the topic was the difference between aggregating point-in-time experiences vs aggregating the same experiences over a period of time. It sounds exotic, but it’s actually a very simple idea and every investor should understand it. The original tweet asked if you were offered an investment that had a 50% chance of returning 0.6x (40% loss) and a 50% chance of returning 1.5x (50%) gain, should you take it? The answer would appear to be an obviou ..

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