If you stopped working today and continued to live at your current standard of living, how long would you last? If you could last a month, then you are one month wealthy. If you could last five years, then you are five years wealthy. And if you could last forever, then you are indefinitely wealthy.”
Tag: Investing
People are really crazy about minor decrements down. Huge insanities can come from just subconsciously over-weighing the importance of what you’re losing or almost getting and not getting…
— Charlie Munger One of prospect theory’s most important contributions to finance is loss aversion, the idea that for most people, losses loom larger than corresponding gains. The empirical evidence suggests we feel losses about two to two-and-a-half times more than we feel gains. Loss aversion is a clear-cut deviation from expected utility theory.” —
So nature has kind of tuned us to look at the negative side…
— Dan Ariely Why does cash feel so different? The agony of parting with our money has to do with the saliency of, do we see this money going away? And it has to do with the timing of whether the money is going away at the same time we’re consuming.” “For example, we find
If you aren’t willing to own a stock for ten years, don’t even think about owning it for ten minutes
— Warren Buffett
Wealth is the absence of financial worry, an income you don’t outlive, and a meaningful legacy to those whom you love
— Nick Murray From ‘Simple Wealth, Inevitable Wealth’ P. 25 Wealth isn’t primarily determined by investment performance, but by investor behavior.”
Fear has a greater grasp on human action than does the impressive weight of historical evidence
— Jermey J. Siegel No one is asking you not to feel the fear, because there are very few of us who ever actually become immune to the emotion. You have to be who you are, and you have to fell what you feel. You simply have to refuse to act on the feeling.” — Nick Murray from