Episode

Stanley Druckenmiller on What Makes a Great Investor, Bitcoin & His Biggest Trades
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51:22
Published: Thu May 27 2021
Description

Trung Phan (@TrungTPhan) -- lead writer for The Hustle -- interviewed hedge fund legend Stanley Druckenmiller on May 11. Widely regarded as one of the greatest investors ever, Druckenmiller famously made $1 billion in a single trade shorting the British Pound in 1992.  Sam (@theSamParr) has a brief intro chat with Trung before transitioning into the 40-minute Druckenmiller Q&A, which covers: 1) the parallels between now and the Dot-com bubble; 2) the appeal of Bitcoin; 3) the first Big Tech firm likely to reach a $5T valuation; 4) what makes a great investor; and 5) Druckenmiller’s investment in fintech startup Toggle AI (which set up the interview).  --------- * Want to be featured in a future episode? Drop your question/comment/criticism/love here: https://www.mfmpod.com/p/hotline/ * Support the pod by spreading the word, become a referrer here: https://refer.fm/million * Have you joined our private Facebook group yet? Go to https://www.facebook.com/groups/ourfirstmillion and join thousands of other entrepreneurs and founders scheming up ideas. --------- Show notes: * (8:25) Lessons from the Dot-com Bubble  * (17:40) What’s the first Big Tech company likely to reach a $5T valuation?  * (19:25) What’s the biggest risk to the equity markets?  * (21:55) What are the long-term effects of the Wall Street Bets saga?  * (24:20) How he uses Toggle AI in his investing process * (26:50) What makes a great investor?  * (35:20) What is the appeal of Bitcoin?  * (42:20) His thoughts on Dogecoin  * (44:20) Advice for 20-year olds

Chapters
Discover practical tips and inspirational stories from experts in different business areas through the HubSpot Podcast Network, with shows tailored to entrepreneurs, startups, and scaling up.
00:00 - 02:13 (02:13)
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Business
Summary

Discover practical tips and inspirational stories from experts in different business areas through the HubSpot Podcast Network, with shows tailored to entrepreneurs, startups, and scaling up.

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Stanley Druckenmiller on What Makes a Great Investor, Bitcoin & His Biggest Trades
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Billionaire investor Stanley Druckenmiller has achieved 30 years of 30% returns or more, with a long career across many assets and different types of investments.
02:13 - 07:39 (05:26)
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Stanley Druckenmiller
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Billionaire investor Stanley Druckenmiller has achieved 30 years of 30% returns or more, with a long career across many assets and different types of investments. He notably made billions of dollars in 1999 after going long following a formerly fully short position in the dot com bubble.

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Stanley Druckenmiller on What Makes a Great Investor, Bitcoin & His Biggest Trades
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The rapid growth and high valuations in businesses can lead to the emotions of even the most seasoned professionals affecting their decision making.
07:39 - 11:13 (03:33)
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The dot-com bubble of the early 2000s saw many value managers go out of business, including Julian Robertson who stopped managing money in 2000.
11:13 - 19:52 (08:39)
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Dot Com Bubble
Summary

The dot-com bubble of the early 2000s saw many value managers go out of business, including Julian Robertson who stopped managing money in 2000. Companies with high growth estimates then saw their businesses collapse.

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A financial expert emphasizes the value of tools like Toggle for retail investors as it can predict price moves and analyze thousands of securities with mathematical capability, which is particularly helpful for those who don't have access to expensive consultants or insider information.
19:52 - 28:10 (08:18)
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Investment
Summary

A financial expert emphasizes the value of tools like Toggle for retail investors as it can predict price moves and analyze thousands of securities with mathematical capability, which is particularly helpful for those who don't have access to expensive consultants or insider information.

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In addition to having a strong approach and mindset, managing emotions and psychology is key to being a great investor.
28:10 - 36:12 (08:01)
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In addition to having a strong approach and mindset, managing emotions and psychology is key to being a great investor. One should focus on the reasons behind buying a security rather than solely on its price fluctuations.

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Stanley Druckenmiller on What Makes a Great Investor, Bitcoin & His Biggest Trades
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With central bankers making fiat money questionable, gold and Bitcoin seem to have the wind behind them, and as long as Jay Powell keeps acting as he has, Bitcoin has the potential to replace nine trillion in gold.
36:12 - 45:26 (09:14)
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With central bankers making fiat money questionable, gold and Bitcoin seem to have the wind behind them, and as long as Jay Powell keeps acting as he has, Bitcoin has the potential to replace nine trillion in gold. Additionally, during Bitcoin's drop from 17,000 to 3,000, 86% of people who owned it at 17,000 never sold it.

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45:26 - 50:03 (04:36)
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The speaker shares his desire to find a successor to manage the equity part of his family office while he focuses on macro and provides guidance.

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Stanley Druckenmiller on What Makes a Great Investor, Bitcoin & His Biggest Trades
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Stan gave incredible insights on a particular topic which will benefit everyone.
50:04 - 50:45 (00:41)
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Insights
Summary

Stan gave incredible insights on a particular topic which will benefit everyone.

Episode
Stanley Druckenmiller on What Makes a Great Investor, Bitcoin & His Biggest Trades
Podcast
My First Million