# Killing the Market * Author: [Roemer McPhee](https://www.amazon.com/Roemer-McPhee/e/B0058DOHTY/ref=dp_byline_cont_ebooks_1) * ASIN: B01G7I8050 * Pages: 99 pages * Publication: May 25, 2016 * Publisher: RMK, Inc.; 1st edition (May 25, 2016) * Reference: [[https://www.amazon.com/dp/B01G7I8050]] * [Kindle link](kindle://book?action=open&asin=B01G7I8050) --- He jammed these two positions on on full margin—at the time, the 75% maximum that was allowable. In other words, Wilson bought $80,000 worth of these two stocks, with his $20,000 in cash. Well, there was a stock crash in 1956. Wilson’s account fell 25%, wiping out his equity completely. His broker sold him out, since there was no money left in the account, and Wilson went home and cried on his new wife’s knee. IBM and Houston L&P recovered quickly in price, and went on to new highs, for months and then years. — location: [91](kindle://book?action=open&asin=B01G7I8050&location=91) --- What Wilson came up with was the idea of the explosive stock, the wild and crazy stock. The stock that was held by the fearful, or the greedy, or both, and thus had the potential for a big price move. The individual stock that had publicity and public attention, and was drenched in human emotion. — location: [123](kindle://book?action=open&asin=B01G7I8050&location=123) --- Wilson was actually able to compound his net worth, his portfolio of investments, at the breathtaking annual rate of 35%, after taxes of course, between 1963 and 1977. His average compound growth rate over his entire investing career, after taxes, was a very formidable 28%. — location: [227](kindle://book?action=open&asin=B01G7I8050&location=227) --- It seems that Robert Wilson differentiated between Apple Computer and, say, Burroughs Computer Corp., or Wendy’s Hamburgers, and other former long positions, because Wendy’s and Burroughs were not competing in a monopoly-controlled market, whereas Apple really was. — location: [828](kindle://book?action=open&asin=B01G7I8050&location=828) --- Wilson stated many times that the single biggest mistake he made as an investor, the mistake that cost him the most money in his career, was worrying about business competition too early. Don’t sell out of perfectly good long positions for no good reason. The arrival of competitors often can mean something good: like, an expanding marketplace. — location: [843](kindle://book?action=open&asin=B01G7I8050&location=843) --- Charles Allmon — location: [918](kindle://book?action=open&asin=B01G7I8050&location=918)