We’re never going to close the wealth gap by bringing down those at the top. We have to bring up everyone else, especially those at the bottom.
We progress at night when the politicians sleep.Brazilian saying
“Consumption is the sole end and purpose of all production; and the interest of the producer ought to be attended to only so far as it may be necessary for promoting that of the consumer.”Smith, Adam.
The true investment objective of growth is not just to make gains but to avoid loss.Fisher, Philip A.. Common Stocks and Uncommon Profits and Other Writings: 40 (Wiley Investment Classics) (p. 196). Wiley. Kindle Edition.
Excessive pride or self-confidence, often entailing a loss of contact with reality and an overestimation of one’s own capabilities, especially on the part of those in positions of power.Webster’s dictionary, 8th
“The market is a pendulum that forever swings between unsustainable optimism and unjustified pessimism. The intelligent investor is a realist who sells to optimists and buys from pessimists.”Benjamin Graham
It’s very easy to take bad decisions, thankfully there are mental models that can teach us how to think and how to take better decisions.
Second-order thinking is a mental model that helps us find the long term consequences of our decisions and thus help us make better decisions leaving the immediate gratification behind. It’s very easy to think about the immediate results and forget about what’s going to happen after, that’s why this model brings a very important question: “Then what?”
From now on, I will start asking “then what?” every time I need to make a decision, it’s an habit I want to build.
If you’re interested about this and other mental models, I recommend you read fs.blog
you can only be an optimist in the long run if you’re pessimistic enough to survive the short run.https://www.collaborativefund.com/blog/save-like-a-pessimist-invest-like-an-optimist/
Your expectations grow slower than your income. It’s the only way you’ll feel wealthy regardless of how much money you have.
If you want to succeed, double your failure rate.
Someone at work shared this quote today, and wanted to share it here for myself, as a reminder that is OK to fail and it’s actually a great thing. Make sure you’re having new failures in your life and learn from them, and then follow new failures.