Volatility and Investment: The phenomenon where an asset’s price fluctuates over time is called volatility. Owning and reselling this volatile asset is known as an investment. The concept of buying and reselling an asset often causes us to overlook the fact that this process involves a trade-off between low-volatility and high-volatility assets. Cash is less volatile than stocks, and stocks are relatively more volatile. In other words, investing involves exchanging low-volatility assets for high-volatility assets and then switching back to low-volatility assets. Meanwhile, surplus profit is generated by the price differences caused by volatility. What would happen if we traded only highly volatile assets with each other? We would probably hesitate to exchange assets and might refrain from investing. In investing, there must be both low-volatility and high-volatility assets. - Joseph’s “just my thoughts”
"Asset" means the root of wealth. These “assets” live on credit. Each kind of faith is different. When someone trusts me, someone will trust my gentle character, my sincerity in keeping my promise, or my will to do what I do. In commercial transactions, however, other trading parties trust my “assets” rather than my personality. Even if you do not have a good personality, if you have a lot of assets, transactions with him are active. Wealth is faithful to principles and does not discriminate based on personality. But this does not mean that personality is unnecessary. - Joseph’s “just my thoughts”