The Great Brain of the Last Century ALBERT EINSTEIN used to toss a coin before taking a decision. What about you?

24 January 2018

The Great Brain of the Last Century ALBERT EINSTEIN used to toss a coin before taking a decision. What about you?

Greetings from Hitesh! In last 7 days, normal investors have got a shocking realization. The SENSEX made 36000 and Nifty made 11000 but most of the portfolios were down by 4% to 8%. The trick was simple. Just push up Reliance/HDFC Bank / TCS / Maruti / ONGC and you are at the new high each day. Market can take you for a ride when you expect the least. You need to learn the fine art of investments before you plunge into market.

To help you learn the BASICS, today we are taking inspiration from the great brain of the last century Mr.ALBERT EINSTEIN. Many would not believe that he used to toss the coin before taking a decision. But you need to read his BIOGRAPHY. He has given many experiemetns of tossing coing to explain the concept of RELATIVITY.

The coin tossing of EINSTINE and NORMAL GUY:-

When faced with two equally good choices he used to toss the coin. Say HEAD I will go for A and TAIL I will go for B. Faced with this kind of experiments normal guy would go by the HEAD or TAIL. Einstein would never wait for HEAD or TAIL. By the time coin lands on the floor, he would look into his HEART. In that fractions of SECONDS he would see within what his heart wants to see – HEAD or TAIL.

Once his heart wishes HEAD, he would not look at the results and go ahead with his heart. This was the height of his HONESTY with himself.

How NORMAL Guy tosses the coin?

In last SEPTEMBER, we had too much rain in MUMBAI and most of the MUMBAI was at STAND STILL. I asked my friend would he go to the office NEXT day or not? He replied, he would toss the coin. If HEAD comes he will go and if TAIL comes he will not go. As expected he did not go to the office next day. When I met him, I asked him what was his experience with the coin tossing. He said I tossed the coin 9 times and finally at the 10^th time TAIL came!! So, I did not go.

This way NORMAL guys use the coin!!

How our DISHONESTY with ourselves is affecting our INVESTMENT PEFORMANCE?

I have always maintained that real market is inside our mind and the way we think and act affects our success all the times. I will share some of the examples of our DISHONESTY.

1.      You have a fixed time of getting up in the morning. IDEALLY you should get up when your SLEEP is over.

2.      You have a FIXED time for BREAK FAST/ LUCNH and DINNER. You eat as per CLOCK and not as per your HUNGER.

3.      The same goes for SLEEPING. You do not sleep when you get the SLEEP.

With the above incidences, you are not harming anybody. You are not cheating anybody. In fact, you feel that you are living a disciplined life. You can give me the example of the success due to your such and such lifestyle. But with the above routine you are going against the natural flow of life. Life gets sabotaged in such a living. So, in spite of success, happiness is always missing in your life.

What is the problem with these rules and your investment performance?

The way you have systematized your life, you expect your investment also to perform systematically. Knowing your WEAKNESS for SYSTEM, Mutual funds are making millions by selling you SIPs.

Market is also a LIFE in a way. It does not believe or follow your dictums and it will move the way it likes. It rewards un-proportionately to the REAL GUYS.

Another thinker of current century, Mr.Nassim Taleb in his Book, The Bed of Procrustes, shared the same thing in his own style.

Mr. Taleb addresses the modern day ways in which “We humans, facing limits of knowledge, and things we do not observe, the unseen and the unknown, resolve the tension by squeezing life and the world into crisp commoditized ideas, reductive categories, specific vocabularies, and prepackaged narratives, which, on the occasion, has explosive consequences.”

What NEXT?

Einstein used to toss the coin to be aware about his deep desires. Success in investment is all about your living life with AWARENSES. Try to live your everyday with more AWARENESS than yesterday and you will find that your investment performance is also improving automatically.

Wish you life a life of awareness.

Follow me on Twitter @hiteshmparikh /  WhatsApp - +91-9869425399.

Live With Passion…Invest With Passion.

Hitesh Parikh.