First-level thinking says: "This is a good company, so I'll buy the stock." Second-level thinking asks: "This is a good company — but does everyone already know that, and is it already priced in?" This tool trains the mental model that separates average investors from great ones.
"Second-level thinking is deep, complex and convoluted. The second-level thinker takes a great many things into account. They know that the market is a large group of people who set prices, and that to beat them you have to know something they don't."
— Howard Marks · The Most Important Thing
01
A consensus view is presented. The market believes this.
02
You're challenged to think one level deeper at each stage.
03
Real historical cases reveal what actually happened when the consensus was wrong.
04
You receive a Second-Level Score and a diagnosis of your thinking patterns.