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”
The case of solving complex problems with surprising ideas and new perspectives is exemplified by Alexander the Great ’s ‘ Gordian Knot ’ or the ‘ Egg of Columbus .’ If you have tried using the same perspective and approach but have not achieved your goal, you must tackle it from a completely different perspective and method. Nevertheless, the reason we continue to cling to our previous perspective and direction is that we focus too much on the method. If you get caught up in the method, you lose sight of your purpose. If you lose your purpose, you may end up trying the same method again. If the will is strong and misguided, it is possible to repeat this. - Joseph’s “just my thoughts”