Why “investing lessons”?

Living life to the fullest and building wealth, I believe, is a product of learning how to invest

Each post on efrati.blog is based on a single investing lesson that I picked up from somewhere along the way.  Themes include human nature, systems and organizational dynamics, biases, psychology, parenting, capital allocation, general life advice, and pretty much anything else that can be applied to investing.

The audience for this blog is first, myself, then perhaps my kids, then anyone else who feels they might benefit.

Take a look at the people you consider to be the most successful people you know – in either the whole world, or even just in your world

If we’re talking about financial success, then it’s a no-brainer: few would disagree that the most financially successful people in world are the best investors, and that extends to all different sorts of investing, including:

  • Securities investing (effective capital allocationin the right stocks, bonds, etc.), 
  • Company-building (smart investing in the right people, products, markets, etc.), 
  • Real estate investing (building the right relationships, picking great properties, geographies, etc.), or
  • Good old empire-building (smart buying and selling of the right companies, natural resources, etc.).

And let’s say we’re talking about success as measured by something other than money, for instance, success in…

  • Sports – e.g. a successful athlete
  • Academia – e.g. a successful professor 
  • Family – e.g. a successful grandmother
  • Spirituality – e.g. a successful lama

… I’d argue that each of those people who you consider successful will have made some great investments that has driven the success they’ve achieved.

I just happened to really, really like thinking about investing in this regard because, for one, it makes complete logical sense. Where I invest my time and cognitive energy, or if I have some say of where I invest someone else’s time (e.g. my child or my employee), that is just as important a consideration (if not more important!) as where I invest my money. 

That goes for relationships, too. Which friend do I want to go out to coffee with? And how do I want surprise my wife for her birthday?

And it goes for diet and exercise. Which foods should I eat and which should I not? And when I’m at the gym, would it be better to do a half hour on the elliptical, or on the stationary bike?

And it goes for, most obviously, money. Should I buy? Should I sell? When? How should I structure the deal? How should I communicate it to key stakeholders?

Investment decisions can almost always be boiled down to a binary decision between yes (do invest) vs. no (don’t invest), I think. Figuring out what the yes/no question is can sometimes be tricky. And identifying the variables (controlled and uncontrolled), considerations, and implications is almost always tricky. 

I started looking at life through this lens only in the past couple of years, as I entered my 30s. Since then I’ve learned so many lessons – through investing experience (probably the best teacher!), people I know and people I’ve met, books & podcasts, observations at work, and other sources.

If I learn something new that shapes the way I think about investing, and can jot that idea down, I will have achieved a net positive return with this blog. 

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