How do the best investors make mistakes yet still earn millions?

Here's a summary of the great book "The Art of Execution" (The Art of Execution) by author Lee Freeman-Shor

1/ The author Lee Freeman-Shor spent years observing 45 of the most skilled fund managers and analyzed thousands of real trades. He discovered a surprise: success doesn't depend on "prediction accuracy" but on "how to act" when things go wrong.
2/ The book categorizes investors into 5 (models) based on their behavior when losing or gaining. The secret isn't in "what you buy," but in "when to exit" and how to manage your position size.
3/ Dealing with loss (Rabbits, Assassins, and Killers):
Rabbits (Rabbits): Those who freeze at a loss and hope the stock recovers without a plan. They are the most likely to fail.
Assassins (Assassins): The more mature. They set a strict "stop loss." If the stock drops by a certain percentage (for example, 20-33%), they sell immediately without emotion.
Hunters (Hunters): Those who "average down" (DCA) when prices fall, but only if the stock is truly cheap and they have enough liquidity.
4/ Dealing with gains (Treasure Seekers and Gold Hunters):
Raiders (Raiders): Sell after a small profit out of fear of losing it. These miss out on "huge profits."
Connoisseurs (Connoisseurs): The most successful. They let their profits grow and hold winning stocks for years, which compensates for all their small losses in other trades.
5/ The golden rule in the book:
You don't need to be right most of the time. You can be wrong in 60% of your trades and still be wealthy, as long as your losses are small (kill the rabbits) and your profits are huge (let the treasures grow).
6/ Summary:
Investing is a struggle with "the ego" (Ego). The human mind hates admitting mistakes, so it tends to hold onto losing stocks. The book teaches you that strict execution of profits and losses is far more important than searching for the "magic stock"$GT #GateLaunchpadKDK