Ed Thorp Interview Highlights

A recent, two-part article in Barron’s summarizes an interview with mathematician Ed Thorp, who gained celebrity after figuring out how to use his skills to “beat the casino at roulette,” then applied his techniques to the stock market and wrote best-selling books about them. Here are some highlights: Thorp explained, “In high school, it occurred to me that the roulette ball moves in a stately orbit like a planet…and I was convinced I could predict… Read More

Finding Your Edge a Key to Investing Success

By John P. Reese The mathematician Ed Thorp figured out how to beat Las Vegas casinos at blackjack and baccarat and they didn’t like it. But the MIT and University of California Irvine professor didn’t get discouraged. He applied those same mathematical principles to the markets, and also won. Mr. Thorp knows that good ideas have limited runs. As more investors pile into a winning trade, the returns start to diminish and the idea can… Read More