Economic Times: “According to Buffett, playing it too safe will not result in wealth creation. Mistakes are an integral part of the investment journey, and the important factor is how quickly you realize your mistake and trim your losses. Cutting weeds, or dead stocks, is critical for portfolio growth. If your money is stuck in dead stocks, your overall portfolio will not outperform. Therefore, as an investor, you must be willing to accept and learn from your mistakes for long-term success…Buffett advises investors not to attempt to increase allocations to stocks that have fallen, as they may find themselves catching falling knives. Instead, they should focus on stocks with strong fundamentals and growth potential. If they continue to invest in weeds, their portion in the portfolio will keep rising, hindering overall performance.”
Andrew McCarthy: “Walking is the worst-kept secret I know. Its rewards hide under every step. Perhaps because we take walking so much for granted, many of us often ignore its ample gifts. In truth, I doubt I would walk often or very far if its sole benefit was physical, despite the abundant proof of its value in that regard. There’s something else at play in walking that interests me more…The great naturalist John Muir keenly observed, “I only went out for a walk and … going out, I found, was really going in.” Has anyone ever emerged from ambling through nature for an hour and regretted their improved state of being? Perhaps this is what that dedicated walker Henry David Thoreau was referring to when he wrote, “I took a walk in the woods and came out taller than the trees.” So the secret is out there. It’s under the leaves on the trail. It’s right there on the sidewalk.”
John T. Reed: “When you first start to study a field, it seems like you have to memorize a zillion things. You don’t. What you need is to identify the core principles – generally three to twelve of them – that govern the field. The million things you thought you had to memorize are simply various combinations of the core principles.” [via Shane Parrish]
NYTimes: “It’s important to understand that while a midday nap will probably replenish your energy enough to get you through your day, said Rebecca Spencer, a sleep science researcher at the University of Massachusetts Amherst, it won’t necessarily negate the health risks that may come with insufficient sleep at night…Not only is the length of time you sleep important for health, Dr. Spencer said, but also the quality of that sleep, which is determined by how much time you spend in its different stages.”
Ruchir Sharma: “More than low interest rates, the easy money era was shaped by an increasingly automatic state reflex to rescue — to rescue the economy from disappointing growth even during recoveries, to rescue not only banks and other companies but also households, industries, financial markets and foreign governments in times of crisis. The latest bank runs show that the easy money era is not over. Inflation is back so central banks are tightening, but the rescue reflex is still gaining strength. The stronger it grows, the less dynamic capitalism becomes. In stark contrast to the minimalist state of the pre-1929 era, America now leads a rescue culture that keeps growing to new maximalist extremes.”
