Horse Betting…. How to Consistently Pick the # 3 Horse.

What if I told you that you could consistently come in 3rd place in a horse race nearly every single time? That you might get 2nd place every once in a while, you might even tie for 1st once in a blue moon, but you’d never come in last place? And that you’d never come in anywhere close to the bottom third?!! And that this horse picking strategy would never end up in the horse you picked breaking its leg, falling off the trailer, or being a no-show at the race? Would you take that advice? I sure as heck would. Too bad I don’t know anything about horse racing*.

Consistently picking winning individual stocks is nearly impossible. But when you do pick the winning horse… I mean winning stock… when you miraculously get in at the bottom and ride the stock to the top (i.e. Warren Buffett scooping up Coca-Cola circa 1988), you win big. And most folks do that sort of thing, presumptuously assume they’re a genius. And proceed to tell everyone who’ll listen how great an investor they are (not referring to Warren Buffet… he is a genius!). But if you pick a loser, you tell no one, and sheepishly mention the one-off turn of bad luck to your CPA, so that you might recoup some of your losses by a tax write off.

So what’s the advice when it comes to investing? Buy the entire market. Buy a Total Stock Market type fund, or at least an Index Fund that tracks the S&P 500. That’s it. Grow your net worth, create generational wealth through the simple time tested process of buying the entire market.

*other than drinking mint juleps and wearing a fancy hat while watching the Kentucky Derby on TV.

Horse Betting Types picture: https://www.sportsbettingdime.com/guides/how-to/horse-racing-bet-types/

Stupid Table Spread picture: https://www.reddit.com/r/StupidFood/comments/ec2xlg/stupid_table_spread/