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Just my thoughts #0680

The most important rule in investing is not to lose your initial capital. Making money comes later. If you lose 50% of your principal, the loss rate is 50%, but to recover that principal, you need a 100% return. This is because the baseline of your return—the principal—has already been halved. Many people tend to think that if they’ve lost 50%, they only need a 50% return to break even. However, this is a misunderstanding of the starting point. In investing, the baseline is always the original principal. The principal after a loss is no longer the same; it’s already in the past. - Joseph’s “just my thoughts”
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Just my thoughts #0444

A person adopts a position, and that position shapes the person once more. People form relationships, and those relationships, in turn, shape individuals again. In a system where cause and effect are continuously interlinked, it’s quite easy to embody either a bad person or a good person. Situations and relationships can influence individuals, but people remain at the core of it all. How are good people and bad people determined? Do good people and bad people genuinely exist within this feedback system? How do we distinguish between cause and effect?


- Joseph’s “just my thoughts”




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