Time neutralizes Luck & Risk! A powerful investing lesson!
I stared hard into space trying to decide if I should do long-form content today or if I should run to dbuzz and allow my body to enjoy her newfound peace of mind. Yes, I took those sleeping pills and I slept throughout. I haven't had the kind of rest I had today in a long time. I woke up feeling young as though I had no worries. The pills took away my anxieties and replaced them with rest. So it was intoxicating to the point that I wanted to dwell on it throughout today and skip writing another post.
Source
Yet, as old habits die hard, I left the #hivefest thread cast after my subscription screamed "low on data balance", and began to turn the pages of some of my books to find inspiration for long-form content. And I found it.
While I brushed through the pages of Morgan Housel's book, The Psychology of Money, I found something worth sharing. Toward the end of his book, he listed points that felt like a summary of everything else you could have learned from the rest of the chapter. This particular one stood out to me because I had let go of the idea of getting rich quickly a long time ago and concentrated on enjoying and trusting the process. So this point made a lot of sense and it was almost as though the universe was sending me a message.
I have realized so far, that time makes all things better. I have looked back in terms of my finances and I noticed that I am in a better place today than I was a few years ago. It's growth for me. It may not be as big as I would want it to be, but, growth is growth, regardless of the size. I discovered while going through the past in my head that life is simple, we are the ones who make it complicated because we allow ourselves to be influenced by the things we see on social media.
The one reason I picked the psychology of money this night is because I went through the recent news on the death of Mohbad and I found that he had more songs trending on the chart. I felt bad about his popularity coming when he's already dead and gone. But something reminded me about Ronald James Read in Morgan Housel'book, and how he made headlines after his death because of his net worth. So I figured, Mohbad was no different.
There will always be people we wrote off when they were alive who were worth more in terms of talents and possibly financial standings. I know you already know that I really would choose to be rich and not popular. Living life with all amount of humility and as low-key as possible. So, Mohbad reminded me of my financial dreams of having a lot but living the opposite.
This post has nothing to do with that. I am going to try to tie everything that inspired this post today together. The point I found in this book while staring and flipping the pages goes thus;
If you want to do better as an investor, the single most important thing you can do is increase your time horizon. Morgan Housel
In a society where we are in a haste to make it big and do so right here and now, Ronald James Read, is a true example of waiting it out. We are already familiar with Warren Buffett when it comes to patience in the market. It's our turn to reduce how quickly and how soon we want to amass wealth. When we are in too much of a hurry, there's every tendency that we will make mistakes that could cost a lot. But when we increase our time horizon, we will be able to make the little things grow and big mistakes will go away. Morgan Housel said this move neutralizes luck & risk but it pushes results closer towards what people deserve.
More from iska
Inheritance, Entitlement, & the Road to Financial Freedom
The true cost of sentiment in the realm of wealth building
Dynasty Builders, Legacies & the Art of Generational Success
Candid Thoughts on the Bear Market
Taking responsibility and staying financially accountable
Embracing the 'What If' Mindset for Future Success and Security
Fortune Favors the Prepared Mind
Accumulating Wealth through the Mastery of Time and Patience
Escaping the Chains of Materialism
Risk, Trust, & Financial Decisions: The Impact of Emotions on Investments