Week In Review Articles
To outperform, you need serious competitive advantages.
But contrary to what you have been told, most of them don’t require talent.
10 competitive advantages that you can start developing today:
— Sahil Bloom (@SahilBloom) March 20, 2021
Morgan Housel: Too Much, Too Soon, Too Fast “A good summary of investing history is that stocks pay a fortune in the long run but seek punitive damages when you try to be paid sooner.”
Morgan Housel: Investing—The Greatest Show On Earth “More important is this: If you find something that is true in more than one field, you’ve probably uncovered something particularly important. The more fields it shows up in, the more likely it is to be a fundamental and recurring driver of how the world works.”
The Reformed Broker: They Will Flood The Market With Collectibles “The problem with collecting tulip bulbs is that more tulips grow back the next spring – and the more others are collecting and cultivating tulip bulbs, the more tulips there will be the following spring.”
The Reformed Broker: Reverse Wealth Transfer On Steroids “This is a reverse wealth transfer. The sponsor – already a billionaire or a hundred-millionaire – ends up with 20 percent of the company that the SPAC acquires and all sorts of related fees paid to them. You, on the other hand, end up with a stock that went up and then went back down in almost all cases, with a few notable exceptions. You are supplying them with the means to take over companies at a cost outlay of effectively zero.”
Calibrating Capital: A Generosity Philosophy “Although money is the first thing that comes to mind when talking about generosity – and what I’ll mostly talk about here – it doesn’t end there. Generosity also includes our time and our skillset and our existing assets.”
The Retirement Field Guide: Don’t Confuse Probability With Certainty “It’s about managing the process. It’s about re-running the numbers on a regular basis (at least annually). It’s about observing your own life’s changes, your spending habits, your health, and your desires for the future.”
Cathy Curtis: Budgeting For Happiness—Your New Spending Plan “Instead of focusing on the long-term rewards of effective budgeting, you start to focus on what you can’t have right now. When that deprivation mentality kicks in, it makes mindless shopping or impulse purchases harder to resist. But don’t fret; this mindset is fixable if you take a different approach with your spending plan.”
The Belle Curve: Get Rich vs. Stay Rich “Getting rich is exciting, even thrilling, and often includes lots of risk taking. Staying rich is boring, bordering on mundane. That’s because the only way protect wealth with any degree of certainty is to diversify. Diversification by definition means that parts of the portfolio will always be lagging the rest of the market.”
The WSJ: Why Marcus Rashford Is The New Prince Of England “Rashford is raising the alarm about hungry kids because Rashford was a hungry kid. The youngest of five in the diverse, working-class neighborhood of Wythenshawe in south Manchester, he relied on school to feed him breakfast, lunch and a snack, every weekday, for years. It’s a system propped by local and national programs, but it hardly keeps up with rising necessity.”
Thomas Kopelman: Accountability—An Advisor’s Silent Superpower “It means nothing to pay a financial advisor and have a well-thought-out plan created if it ends up in a random drawer untouched with dust on it years later. Unfortunately, this still happens all the time. Lack of implementation is a huge problem in the financial planning industry — it’s one I wanted to solve with my clients.”
Disclaimer: Nothing on this blog should be considered advice, or recommendations. If you have questions pertaining to your individual situation you should consult your financial advisor. For all of the disclaimers, please see my disclaimers page.