Weekly Summary
Quote, Mental Model, Twitter thread, Question
Quote
“Envy is the dumbest of all sins as it's not even fun” ~ Charlie Munger
Mental Model
Margin of Safety: Let’s say you’re packing for a trip and the baggage limit is 24kg. Are you going to pack exactly 24 kg or try to keep it a little lower than 24 kg and have some room? I usually leave some room in case I want to get something from there or the home weighing machine is not functioning properly. This room that we leave is margin of safety. Everyone can use it in their personal life. Margin of Safety is very important because the future is uncertain. Margin of Safety enables us to reduce our risks of future unknown events. As an investor one of the most important things is to have a margin of safety.
“Confronted with a challenge to distil the secret of sound investment into three words, we venture the motto, Margin of Safety.” ~Ben Graham
So this mental model is important for everyone. It is a rule of life.
Twitter Thread
This is an interesting thread on the mindset of college students. The system is so flawed that the purpose of the college is becoming pointless.
Question
The year is about to come to an end and reflection is one of the most important things to do. So the question to ask yourself is:
What are the things I did this year that made me happy and can I do them next year?
That’s it for this week! Until next time.