Weekend Reading for 4/21/2017
Know What You Know
Ray Dalio, founder of the largest and arguably most successful hedge fund in history credits much of his success to understanding the limitations of his knowledge.
“Our greatest power is that we know that we don’t know and we are open to being wrong and learning.”
So what do I know about investing in markets? Well, first of all, I know a lot of very smart people work in the investment industry. I actually don’t know many people in this industry who aren’t extremely bright. Through research and direct contact, I know these people are very good at what they do. I am 100% confident that thousands of really smart people trade in financial markets every day and help set prices efficiently.
Chart of the Week
USAFacts is a new data-driven portrait of the American population, our government’s finances, and government’s impact on society. The website is a non-partisan, not-for-profit civic initiative and claims no political agenda or commercial motive. The information is provided as a free public service. Lots of fun stuff to browse through!
3 Good Reads
Inside Blue Apron (Jing Cao)
“Today Blue Apron is a high-tech operation with more than 4,500 employees in three fulfillment centers around the U.S. Work goes on around the clock in three shifts; up to 500 or so men and women work any given period, garbed in blue latex gloves, smocks and heavy coats. When they arrive for their eight-hour shifts they wade through a trough filled with powdered disinfectant, then take up positions around the facility, which is loud enough to make conversation difficult. A large screen flashes green and red to show which lines are on schedule and which have fallen behind. There is an air of controlled chaos.”
Are You Smarter Than a Rat? (Daniel Crosby)
“The behavioral investor thinks like a rat, caring only for probability in a world that craves sophisticated nonsense. When asked to weave a story on a prominent financial news network, a behavioral investor will have no grand thesis, no series of dominoes waiting to fall. Accordingly, she will never be invited back.“
We Live in Exceptional Times (Max Roser)
“A positive lookout on the efforts of ourselves and our fellow humans is a vital condition to the fruitfulness of our endeavors. Knowing that we have come a long way in improving living conditions and the notion that our work is worthwhile is to us all what self-respect is to individuals. It is a necessary condition for self-improvement. Freedom is impossible without faith in free people. And if we are not aware of our history and falsely believe the opposite of what is true we risk losing faith in each other.”
Enjoy your weekend!