6 Investments That Are Worse Than Bitcoin
Risk is in the eye of the beholder
Risk is an interesting subject. We all agree that playing Russian roulette is dangerous, for example, but when it comes to more complex subjects, like investing, most of us get fooled by randomness, cognitive biases, and fear.
Many people still think, in this day and age, that flying is more dangerous than driving despite the mountains of evidence showing the opposite.
We are just not rational animals. We are driven by fear and greed, we suffer from delusions and we are easily influenced by our environment. Yet, we think we are objective, fair, rational, and wise most of the time. We are delusional about our own delusions.
This is why I think, in the future, most decisions will be taken by machines. We are just not fit for the job.
When it comes to investing, we become even more emotional, fearful, and greedy and do terrible f*ck ups. Most people buy high and sell low when clearly the trick is to do the opposite. I’ve been there…many times. It’s incredibly difficult to buy a stock when is down or sell it when is up, even though it’s the logical conclusion.
Money is like food for us, we tend to hoard it, protect it and try to make more of it, but always with a lack mentality. The pain of…
