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”
In the 18th century, when the sun went down, people slept except for the rich man who could afford a candle. Humans lived in harmony with the natural rhythm. When machines created an industrial society and replaced human labor, people did not reduce their work but instead operated according to the machine’s working cycle. Charlie Chaplin criticized this phenomenon in his movie “Modern Times,” highlighting how mechanization forces humans to work with unprecedented intensity. Now, humans are concerned that artificial intelligence and robotic automation will diminish labor and lead to unemployment. What a contradiction! Rest is not an automatic benefit; it is a holy declaration of war that I must strive to achieve, not to disturb my rest on purpose. - Joseph’s “just my thoughts”