top of page
  • K

Perspectives

Two people, A & B meet at a coffeeshop to catch up and talk about the recent state of things. A says, "Times are bad, this pandemic has really disrupted all my business and meetings. And I've lost so much money in one of my ventures". B nods in agreement and says, "Yes. It's really bad. I invested in this company awhile back and lost something like $5,000. It's really a struggle now". A replies, "That's not a struggle man, $5,000 is nothing. My losses are in the hundreds of thousands."

  • Everyone's perception and threshold of money and risk are different. A thousand dollars are very different to the average person and a millionaire.

  • Knowing that someone else lost more money than you does not make you feel better; Conversely, telling someone else that you'd lost more money doesn't make you feel better as well.

  • Risk and reward is always equitable and pro-rata to capital contribution i.e. you cannot expect to get more than what you put in. Be rational and at peace with what you have invested and taken.

  • A fool and his money are soon parted.


Tags

Pinned

Sunday, October 23, 2022

Our lack of understanding in how different countries are being governed are rooted in bias, largely based on what we are familiar with...

Thursday, October 6, 2022

Whenever I approached the close of my financial modelling course, I always did a simple roll-call to call for feedback from everyone in...

Sunday, October 18, 2020

In 1990, a psychologist quoted in the New York Times reported that people “turn on the TV when they feel sad, lonely, upset or worried,...

Thursday, July 23, 2020

IB isn't just about getting through the gruelling late nights and delivering on the number crunching. It was also about the harsh and...

Saturday, July 4, 2020

There’s nothing you should regret in life - all the good things that you have today are a result of everything that has happened....

Wednesday, December 31, 2003

Learning, knowledge and staying up to date with the news and what's going on in the world is your own personal responsibility. The same...

Connect

  • My LinkedIn Page

More

Subscribe to receive updates

Thanks for subscribing!

bottom of page