Don’t Mistake Possibilities For Probabilities

“Don’t mistake possibilities for probabilities. Anything is possible. It’s the probabilities that matter. Everything must be weighed in terms of its likelihood and prioritized.Believe it or not, your pain will fade and you will have many other opportunities ahead of you.” 

- Ray Dalio

Ask Questions To Gain Perspective

Sometimes asking questions to gain perspective can be misperceived as being weak and indecisive. Of course it’s not. It’s necessary in order to become wise and it is a prerequisite for being strong and decisive. 

Always seek the advice of wise others and let those who are better than you take the lead. The objective is to have the best understanding to make the best possible leadership decisions. 

Be open-minded and assertive at the same time and get in tight sync with those who work with you, recognizing that sometimes not all or even the majority of people will agree with you.

Five Sunday Quotes (by Ray Dalio)

“If you’re not failing, you’re not pushing your limits, and if you’re not pushing your limits, you’re not maximizing your potential.” – Ray Dalio

“Having the basics, a good bed to sleep in, good relationships, good food – is most important, and those things don’t get much better when you have a lot of money or much worse when you have less. And the people one meets at the top aren’t necessarily more special than those one meets at the bottom or in between.” – Ray Dalio

“Listening to uninformed people is worse than having no answers at all.” – Ray Dalio

“Time is like a river that carries us forward into encounters with reality that require us to make decisions. We can’t stop our movement down this river and we can’t avoid those encounters. We can only approach them in the best possible way.” – Ray Dalio

To-do Lists

Good work habits are vastly underrated. People who push through successfully have to-do lists that are reasonably prioritized, and they make certain each item is ticked off in order.

Decide What You Really Want In Life

Take passion, for example. Without passion, life would be dull; you wouldn’t want to live without it. But what’s key is what you do with your passion.

LIFE PRINCIPLE: Decide what you really want in life by reconciling your goals and your desires. 

Life Principle: Success

Achievement orientation is important, but people who obsess over a $1,200 pair of shoes or a fancy car are very rarely happy because they don’t know what it is that they really want and hence what will satisfy them. 

LIFE PRINCIPLE: Do not mistake the trappings of success for success itself.

The Holy Grail of Investing

In this short video Ray Dalio explains what he believes its his Holy Grail in trading.



While Indiana Jones might have found it safely tucked away in the Temple of the Sun, to legendary investor Ray Dalio, the "Holy Grail" is a sweet spot between diversification and correlation.

Source: Investopedia

Ray Dalio Mentoring Diddy (video)

Sean Combs, also known as Diddy, asked me to mentor him to help him take his great success to another level. In this video you will see a recent mentor session of ours, and you will see a Diddy that you probably haven’t seen before. We explore the role of radical open mindedness, building an effective team, and the importance of using the 5-step process for success that I've outlined in my books, Principles: Life & Work and Principles for Success. You will also see why I want to help him and why I believe our relationship exemplifies how people with different backgrounds and different perspectives can work together harmoniously for the greater good. The greatest joy I’m having now is helping other people to be successful, particularly helping people who can help a lot of people.

The Big Bet That Failed

Long before I reached success as the founder of Bridgewater Associates, the world’s largest hedge fund today, I faced several failures. But through my struggles, I was able to accumulate hundreds of principles.

Here's a big bet that failed: Ray Dalio on his big bet that failed: ‘I went broke and had to borrow $4,000 from my dad’

Best Of Finance Twitter (Nov 29th)

=> "The MSCI Chile Index in #USD is down 36 percent since February!" - Jeroen Blokland, Multi-asset investor at Robeco.

=> 'More than 200 of the bonds in the Ice index are trading with yields more than 10% above equivalent government bonds — a commonly used definition of distress. That share now stands at 11.6% of the index, the highest proportion since 2016.' - Jesse Felder, publisher of the Felder Report  

=> Interesting stat: "It’s been over a decade since Apple began selling iPhones in India, but the company still only makes up 1% of the world's 2nd-largest smartphone market." - in CNBC

=> "If you’ve taken the time to develop and test a system that provides an edge then not trading it according to the rules is essentially throwing all that work away." - Peter Robbins, independent trader