I can be stressed, or tired, and I can go into a meditation and it all just flows off of me. I'll come out of it refreshed and centered and that's how I'll feel and it'll carry through the day.
Ray DalioRead
There are two main drivers of asset class returns - inflation and growth.
Interpretation
This quote highlights the two primary factors that influence the performance of investment assets.
Ray Dalio's quote emphasizes that the returns on various asset classes are primarily determined by two key economic factors: inflation and growth. Inflation erodes the purchasing power of money while growth indicates the overall health of an economy, influencing how investments perform over time. Understanding these drivers is crucial for investors in making informed decisions regarding asset allocation and investment strategies.
In practice
This quote could be used in a financial seminar to illustrate the importance of economic indicators in investment.
I can be stressed, or tired, and I can go into a meditation and it all just flows off of me. I'll come out of it refreshed and centered and that's how I'll feel and it'll carry through the day.
There is a strong tendency to get used to and accept very bad things that would be shocking if seen with fresh eyes.
The pain of problems is a call to find solutions rather than a reason for unhappiness and inaction, so it's silly, pointless, and harmful to be upset at the problems and choices that come at you (though itβs understandable).
Meditation more than anything in my life was the biggest ingredient of whatever success I've had.
Credit is a promise to deliver money. It will produce GDP but you'll create credit... So you reach a certain point that that you can't do that anymore... There are choices. And how do we best support, apportion the money? How much is going to be transferred?
There is nothing to fear from truth....Being truthful is essential to being an independent thinker and obtaining greater understanding of what is right.
Your priorities, passions, goals, and fears are shown clearly in the flow of your money.
A single agency responsible for systemic risk would be accountable in a way that no regulator was in the run-up to the 2008 crisis. With access to all necessary information to monitor the markets, this regulator would have a better chance of identifying and limiting the impact of future speculative bubbles.
If you're trading individual securities, you're almost certainly making a mistake. Because most professional managers can't outperform their benchmarks, and there's little reason to think that individuals can.
Twenty years in this business convinces me that any normal person using the customary three percent of the brain can pick stocks just as well, if not better, than the average Wall Street expert.
It's not a stretch to say the whole financial industry revolves around the compass point of the absolutely safe AAA rating. But the financial crisis happened because AAA ratings stopped being something that had to be earned and turned into something that could be paid for.
The research indicates that when we women invest, we women do tend to be more patient, take a longer-term perspective and as a result of it, tend to be better investors than men. But the messages we get are that investing is sort of 'the guys' world.'
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