From Zero Hedge:

... Absolute must read for a new investing generation which really does think that this time it is different (and will not end in tears). Pay special attention to the False Lessons, which blare at you daily as the one true gospel by the likes of CNBC.

In this excerpt from his annual letter, investing great Seth Klarman describes 20 lessons from the financial crisis which, he says, “were either never learned or else were immediately forgotten by most market participants.”

One might have expected that the near-death experience of most investors in 2008 would generate valuable lessons for the future. We all know about the “depression mentality” of our parents and grandparents who lived through the Great Depression. Memories of tough times colored their behavior for more than a generation, leading to limited risk taking and a sustainable base for healthy growth.

Yet one year after the 2008 collapse, investors have returned to shockingly speculative behavior...

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