Don't short many stocks. Instead they hedge for tail risk with CDS and options. They are happy to incur illiquidity

We worry top-down, but we invest bottom-up

Great investments don't just knock on the door and say "buy me".

Most investors are primarily oriented toward return, how much they can make and pay little attention to risk, how much they can lose.

The cost of performing well in bad times can be relative underperformance in good times.

Investors need to pick their poison: Either make more money when times are good and have a really ugly year every so often, or protect on the downside and don't be at the party so long when things are good.

The inability to hold cash and the pressure to be fully invested at all times meant that when the plug was pulled out of the tub, all boats dropped as the water rushed down the drain.