Your ability to manage your fear and greed emotions directly affects your outcomes as an investor. And for any investor, outcomes (rate of return) is why we invest to begin with. For many others, fear paralyzes them from ever becoming an investor in the first place. Watch along in my 11th YouTube video to learn more about managing your fears and desires.
Thanks again to my best friend Andrew for encouraging me to read Buffett: The Making of an American Capitalist ten years ago. Reading just this one book prior to the financial crisis made all the difference for me. Only in 2016 did I begin reading other personal finance books heavily. For more on my (and my wife’s) reading list, please see here.
I’ll leave you with some final thoughts on fear and greed:
“You don’t know if it’s fear or desire” – U2, So Cruel
“Some say the world will end in fire. Some say in ice. From what I’ve tasted of desire, I hold with those who favor fire.” – Robert Frost
“I must not fear. Fear is the mind-killer. Fear is the little-death that brings total obliteration. I will face my fear. I will permit it to pass over me and through me. And when it has gone past I will turn the inner eye to see its path. Where the fear has gone there will be nothing. Only I will remain.” – Frank Herbert’s Litany Against Fear in the Dune series