Nearly Infinite Leverage

We are now living in an age of Nearly infinite leverage Nearly infinite leverage Nearly infinite leverage We are now living in an age of Nearly infinite leverage And all the great fortunes, They're created through leverage So your first job, obtain leverage You can obtain leverage, through permission, Take taking risks, getting people to work for you, Or by raising capital or You can get leverage permissionlessly By learning how to code or Becoming a good communicator, Podcasting, broadcasting, creating videos, Writing, et cetera, et cetera, et cetera And that's how you get leverage That's how you get leverage But once you have leverage, what do you do with it? Well, the first part of your career's Spent hustling to get leverage Hustling to get leverage Once you have the leverage then You wanna slow down a bit Because your judgment really matters It's like you've gone from steering your sailboat around To now you're steering an ocean liner or a tanker You have a lot more at risk but You have a lot more to gain as well We are now living in an age of Nearly infinite leverage Nearly infinite leverage Nearly infinite leverage We are now living in an age of Nearly infinite leverage You have a lot more at risk But you have a lot more to gain as well In the age of infinite leverage, judgment becomes The most important skill My definition of wisdom is knowing the longterm Consequences of your actions Wisdom is just judgment on a personal domain Wisdom applied to external problems I think is judgment So they're highly linked It's knowing the longterm consequences of your actions And then making the right decision to capitalize on that Judgment is very, very hard to build up This is where both intellect and experience come in play There are many problems with the so-called Intellectuals in the ivory tower, they have no skin in the game, They have no real world experience So they just apply purely intellect and intellect Without any experience is often worse than useless Because you get the confidence that the intellect gives you And you get some of the credibility but because You had no skin in the game and you had no real experience And no real accountability, you just throwing darts The real world is always far, far more complex Than we can intellectualize We are now living in an age of Nearly infinite leverage Nearly infinite leverage Nearly infinite leverage We are now living in an age of Nearly infinite leverage You have a lot more at risk But you have a lot more to gain as well Especially all the interesting fast-moving edge Domains and problems You can't get there without experience So if you are smart and you iterate fast, Even you put 10,000 hours into something, But you take 10,000 tries at something If you are smart and you have a lot of quick iterations, And you try to keep your emotions out of it The people with the best judgment are actually Among the least emotional A lot of the best investors are considered Almost robotic in that regard I wouldn't be surprised if even the best entrepreneurs Come across as unemotional There is this archetype of the passionate entrepreneur And yeah, they have to care about what they're doing But they also have to see very clearly What's actually happening And the thing that prevents you from seeing What's actually happening are your emotions Our emotions are constantly clouding our judgment And investing or in running companies, building products, Or being an entrepreneur, emotions really get in the way Emotions that will prevent you from seeing what's actually Happening until you can no longer resist the truth of what's happening Until it becomes too sudden and then you're forced Into suffering which is sort of a breaking of this emotional fantasy That you put together We are now living in an age of Nearly infinite leverage Nearly infinite leverage Nearly infinite leverage We are now living in an age of Nearly infinite leverage You have a lot more at risk But you have a lot more to gain as well Investment books are the worst place To learn about investment Because investment is a real world activity That is highly multi-variate All the advantages are always being competed away It's always on the cutting edge So what you actually just need is very, very broad-based Judgment and thinking And the best way to do that is to study everything Including a lot of philosophy And philosophy also makes you more stoic, Makes you less emotional and so you make better decisions You have better judgment You can go within someone's feed and get at least Some semblance of what it must be like To be in their head all the time The more outraged somebody is, I guarantee you the worse their judgment is If someone's constantly tweeting political outrage, Seems like an angry person, getting into fights, You don't wanna hand this person the keys to your car, Let alone the keys to your company