Self Development
Principles for success
- Know what your goals are. Write them down and track your progress toward those goals.
- Encounter the problems that stand in way of your goals. Problems will come. Identify the problems and write them down.
- Diagnose the problems and determine what caused them.
- Learn from the problems and change your process so similar problems are avoided in the future.
- Move forward with the new process in place.
- Repeat steps 1-5.
Writing down these problems, diagnoses and process changes will help you follow these steps. This will also become a lessons learned document that you will be able to look back on in similar situations.
When trying something new, research and learn about it first. Information is more freely available than ever before. This will help you avoid problems.
This does focus on investing but the more general advice is related to self-growth.
-Decide what is within my ability to make an intelligent decision on and know what is not.
-Need to make a list of businesses/opportunities that I do understand.
-Need to make a list of businesses/opportunities that I want to understand more through research. Learn more about the company you work at to understand the business. This will help you evaluate stocks of companies in the same business.
-When something doesn’t work ask yourself, “What about my model of the world is wrong?” Then go out and research and learn more.
-Other countries will continue improving through technology, education, medical improvements.
-Is the business important and easy what I can determine?
-Bill entered at the leading edge of computers. (Even now we are a decade behind the leading edge of AI) On the other hand Warrens approach seems to be easier. In an analogy Bill climbs a 9ft ladder and Warren climbs 9 1ft ladders.
-AI will continue growing and is already being connected to multiple venues.
-Automation will continue improving productivity and cause some loss of job. Displaced individuals should still be able to participate in the benefit of improved productivity.
-Long term thinking will a benefit overall.
-Need think whether I agree with the view that things will continue to get better in the long run. Some of the Trends that I’m tracking could lead to an entire social-economic and geo-political breakdown. How can Bill and Warren so optimistic?
-Short term view of politicians is an ongoing problem.
-Warren looks for companies with durable competitive advantage, something with a moat. Honest management and a price that is not excessive.
-You can get rich young with just an idea. You can get capital easy.
-You will move in the direction as the people that you associate with.
When trying something new, research and learn about it first. Information is more freely available than ever before. This will help you avoid problems.
Risk vs Reward
Each person has a difference tolerance