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Showing posts with the label #antifragile

Zooming Out and Zooming In

Zooming Out: You should zoom out and see the big picture. If you're too close to the situation, you'll get entangled in things that don't really matter. And, they really shouldn't matter. Go too close and you'll get caught up with the noise at the signal.   While this is true for many aspects of life, let's discuss in the context of business and investing.  When you zoom out, you'll ask questions like;  Am I even in the right business? Does it even make sense to be in this business? Where is this business headed in 5, 10, 20 years from now? What need does this business serve? Will this need even be there 5, 10, 20 years from now? For example, an auto ancillary manufacturer, let's say a gearbox manufacturer may be very profitable right now; but if electric vehicles disrupt the internal combustion engine; will there be a need for gearboxes ten years from now?   And even if the need is there, how likely is it that my business will still be relevant fulfilli...

Fortunes are made coming out of recessions...and you won't have to nail the bottom.

Fortunes are made coming out of recessions. Fortunes are made coming out of recessions. Fortunes are made coming out of recessions. Fortunes are made coming out of recessions. Fortunes are made coming out of recessions. ...and you won't have to nail the bottom. This post might actually make you a fortune. Remember how everyone in 2010-2019 wished they had invested in the market during the global financial crisis in 2008? Well, for those who missed it, you are getting a second chance now. Fortunes are made in bear markets for those willing and able to look past the pandemic. Business disruptions: Many businesses are getting disrupted in this crisis. It's no coincidence that half of the Fortune 500 and fastest-growing companies in the world were started during a recession or bear market. I feel this time is no different; strong companies will come out stronger, far bigger, better, and creating much more wealth than in the past.  Lessons from history: The historical lesson of ever...