1. About the author
RAY DALIO
Founder of the hedge fund company Bridgewater. He was born in a very ordinary middle-class family in Long Island, new york. At the age of 26, he founded Qiaoshui in his two-bedroom apartment. After 42 years of development, Bridgewater ranks fifth in the list of the most important private companies in the United States (Fortune magazine). He was selected as one of the 1 most influential people in Time magazine and one of the top 1 richest people in Forbes magazine. Because his unique investment criteria changed the fund industry, American CIO manager magazine called him "Steve Jobs in the investment field".
second, the structure of this book
third, excerpts
1. No matter how much success I have achieved in my life, the main reason is not how many things I know, but what I should do without knowledge.
2. People who share the same values and principles will get along well.
3. I think the key to success lies in knowing how to strive for many things and how to fail correctly.
4. The stock price reflects people's expectations, so when the actual result is better than expected, the stock price rises; When the actual result is worse than expected, the stock price falls. And most people will be biased by recent experience.
5. Don't trust government decision makers when they promise you that they won't allow currency devaluation. The more firmly they make such a commitment, the more serious the situation may be, and the greater the probability that currency depreciation will happen soon.
6. It is a much more practical way to measure the demand by the amount paid (rather than the quantity of goods purchased) and to investigate who the buyers and sellers are and why they buy and sell.
7. Ways to succeed
(1) Find the smartest person with a different point of view from mine, so that I can try to understand their reasoning
(2) Know when I can't have the clearest opinion, and don't rush to conclusions
(3) Gradually sum up the eternal and universal principles, test them and systematize them
(4) Balance them. And reduce the downside volatility
8. One of the keys to becoming a successful investor is to make risky bets only on the investment objects you have high confidence in, and fully diversify your investments in these objects.
9. I suggest you keep enough curiosity and always be willing to understand how people who see things differently from you form their way of seeing things. You will find it interesting and beneficial, and the richer perspective you get will help you decide what you should do.
1. A wise person always keeps an eye on the sound fundamentals when experiencing various ups and downs; And frivolous people follow their feelings, make emotional reactions, rush into hot things, and give up immediately when they are not hot.
11. To have many advantages without being exposed to unacceptable disadvantages, the safest way is to make a series of good, unrelated bets, which are balanced and complementary to each other.
12. The greatest success a manager can achieve is to be able to organize others to do things well without you.
13. Too much money under management may damage the performance, because too large a scale will affect the market trend, resulting in high cost of opening and closing positions.
14. "High poppy syndrome": Tall Poppy Syndrome is a popular term in Australia and New Zealand, which is used to describe a collective critical attitude towards certain people in community culture and belongs to a way of ideological expression. When anyone achieves a certain degree of success in society, it causes unanimous, spontaneous and collective criticism in the community. Usually, this kind of criticism will also come from the mouth of community leaders, and it also has anti-intellectualism, especially suspicion and contempt for intellectuals.
15. People with common sense, creativity and initiative to seek change are rare.
16 there are three stages in life:
(1) the first stage: we depend on others, and we learn
(2) the second stage: others depend on us, and we work
(3) the fourth stage: when others don't depend on us, and we don't have to work anymore, we can experience life freely
17.
18. The most important thing in the world is to understand how reality works and how to deal with it.
19. personal evolution process
(1) have clear goals
(2) find problems that prevent you from achieving these goals, and don't tolerate problems
(3) accurately diagnose problems and find the root causes of problems
(4) plan solutions to problems
(5) do everything necessary to practice these solutions, and. The good news is that every mistake you make can give you something, so there is no end to learning.
21. The two biggest obstacles that affect rational decision-making are your self-awareness and thinking blind spots. Self-awareness disorder means that we naturally want to have a certain ability and want others to see us like this. The blind spot obstacle of thinking is caused by our subjective view of things.
22. Three ways to adapt and evolve:
(1) train your mind to think in a counter-intuitive way (for example, creative people become more organized through self-discipline and practice)
(2) use auxiliary mechanisms (for example, programmed reminders)
(3) rely on the help of experts in your own shortcomings
23.
24. Nature shapes everything with a purpose. What you need most is not the courage to drive you to overcome others, but the courage to always be the truest self no matter what other people expect of you.
25. Five-step process
(1) Set clear goals
(2) Find out the problems that hinder the achievement of goals
(3) Diagnose what parts (which designs or who) of the machine are not working normally
(4) Design modification scheme
(5) Take necessary actions
26. Rather than the goal of hard work
27. Creative selection = extreme truth-seeking+extreme transparency+credibility-weighted decision
(1) show your views openly
(2) discuss differences seriously
(3) follow the formed knowledge and eliminate past differences
28. Smart people are good at embracing their mistakes.
29. Pain+reflection = progress
3. In order to avoid digression, one way is to list the agenda on the whiteboard so that everyone can see the progress of the discussion.
31. The most credible opinions come from: (1) people who have successfully solved related problems many times; (2) People who can logically explain the causal relationship behind the conclusion.
32. The most important factor for a person to succeed is an objective self-evaluation, including an understanding of his own shortcomings.
33. People often make the mistake of focusing on what to do and ignoring the more important question, that is, who should be given the responsibility to decide what to do.
34. When selecting people who are ready for long-term contacts, values are the most important, abilities are the second, and skills are the last consideration.
35. The most powerful personal transformation comes from the pain caused by a mistake that one never wants to experience again-"hitting the bottom".
36. When testing whether someone is good at solving problems, we should see:
(1) He can express how to deal with related problems logically and clearly
(2) He has successfully solved similar problems in the past.
Fourth, thinking
There is no casual success, and there is a set of reasons and mechanisms behind any successful case. Throughout RAY's life, as well as the development track of Qiaoshui, RAY's reflection and improvement, and unswerving efforts, have led to today's preacher.
come to think of it, is what RAY did difficult? It doesn't seem very difficult, to reflect on who won't, to sum up who won't, but after that? After experiencing the pain of failure, should we learn from the bitter experience or selectively forget the unpleasant memories-it seems to be human nature to forget the unpleasant memories. After all, in the process of human reproduction, it is difficult to live to this day without pretending to be optimistic. In a word, not everyone has the consciousness or ability to rebound after falling to the bottom. No one is born a saint, and all life trajectories need to be constantly self-corrected, just like a curve of ups and downs. Although there are ups and downs in a small cycle, the general direction is upward.
In my opinion, there are four kinds of people in life:
Pain immune people, who either don't feel pain or selectively ignore it. Since they don't feel pain, there is no need to reflect and improve;
People who are happy with pain can feel pain, but they are born optimists, so there is no need for reflection and improvement.
Those who learn from a painful experience, such people don't like the pain of failure, and they will also sum up and reflect on it, but their poor execution will be of great help.
RAY, a firm reformer who has learned from a painful experience, belongs to this group. They can't stand failure, and they are action-oriented. They can learn lessons from every failure from their failed mothers and use them to improve themselves, which has formed an upward trend.
Zeng Zi said, "I visit myself three times a day-is it cheating for others? Make friends without believing them? Can't you learn it? "
however, what about saving?
In fact, most of the time, after we fail, we will send out such a sigh: Oh, I wish I had done what I did! This is a relatively primary reflection, that is, the failure reflection on the matter-of-fact level. However, after the feeling is over, we may still plunge into the trivial things of life, and then we may be tempted to step into the same pit next time. Come to think of it carefully, everything has a * * *, and most of our afterlife is just a reappearance of the past time. Therefore, if we can sum up after each failure, we will find that most of the failures are caused by several reasons, and there is still some internal connection between these reasons. These experiences and lessons can even be summarized like mathematical formulas, thus becoming the principles guiding our work and life. In the long process of life, if we can constantly improve our principle base, then there may not be many more RAys in the world, but you will have a great chance to work and live happily.
The first impression of getting the book is shock, unparalleled shock. It is not terrible for a person to reflect and summarize the improvement. What is terrible is that he can form such a systematic principle of life and work. It is like the author sorting out every line one by one in a messy life and work, and showing these lines in the best way, and then showing them to everyone: that's my life. And I really can only be described as amazing.
In fact, most people do not lack the determination to improve or pursue progress. But how to do it? Most of us are stuck in the "how" step, or stagnant, or at a loss. And the author showed us his solution. Take the principle of life as an example. If you want to change yourself, the first thing you have to do is to know yourself. How can human beings control their own emotions, the structure and characteristics of human brain, and the way of thinking? Only on the basis of truly knowing and understanding human beings or yourself can you make targeted improvements.
This is a good book worthy of our in-depth study, but what should we learn? In my opinion, it is a bit too scripted not to apply RAY's principles dogmatically and directly in the book. Everyone's living and working environment is different, so RAY's principles may only suit him, at least most of them. And what we may need to do most is to learn from his methods and spirit and sum up a set of our own working and living principles.
The process of summing up is like a practice, and it is also like building a weapon for yourself. When the weapon is successful, it should be no problem to fight the sword and go to the world, or to defend the Tao.