Joseph's "Just My Thoughts"

As Voltaire said, “History never repeats itself; man always does.” Many interpret this saying differently, but the core message that human behavior is hard to change is clear. Since humans cannot predict the future, they can only forecast it based on past experiences. That’s the best way to anticipate what’s ahead. The current economic and financial landscape is driven by irrational human behavior that remains constant. It is not based on <hard skills> like investment techniques or mathematical formulas but on <soft skills> such as emotions, psychological reactions, and attitudes. Understanding humans helps us understand the world. Therefore, history and the humanities play a significant role in wealth building. However, it takes just a few soft skills to accumulate wealth, and ultimately, human actions shape a person’s destiny. In wealth building, soft skills and behavior matter more than grand theories or knowledge. - Joseph’s “just my thoughts”

People say content is money. That may be true, but money itself is also a type of content. Money is a way to exchange value or build wealth, but it also carries humanity’s stories. We cry and laugh because of money. Money reflects the rise and fall of empires or nations, hiding great stories inside it. Most top YouTube channels focus on content about money and wealth. We often hallucinate money with content. However, we don’t realize that money itself is an ingredient of content. - Joseph’s “just my thoughts”

Most economic concerns are at the core of the conflict between the price of goods and the value of money. An increase in interest rates means a higher cost for borrowing money. This also causes the value of money to rise. Investors want to own an asset that will appreciate in value. They consider whether to buy a good or a currency. Investing in stocks means buying a company, while bonds are buying fiat currency. Most investors see these two concepts as corresponding concepts, not assets of the same nature. The proposition that money buys goods represents a very significant aspect of investing. If you want to invest well, you should get a hint from this proposition. Money appeared because of the convenience of exchanging goods, but in the world of investment, it always results in a confrontation between goods and money. - Joseph’s “just my thoughts”

All investments should be evaluated based on opportunity cost versus time. Are you investing for the short term or the long term? And which option would be more efficient and profitable if you invested elsewhere instead of this? The idea behind recommending long-term stock investments is that high-quality securities tend to benefit from inflation. Inflation happens when the prices of goods increase faster than the value of money. Wouldn’t a producer only make a good if its price exceeds its monetary value? However, if this gap is too large, the consumer experiences volatility. That’s why the efficiency of using money declines because you need money to buy things. This principle explains why stock prices tend to rise over time if you hold high-quality stocks long enough. Therefore, investing is often referred to as investing in time—because over time, it adds value. - Joseph’s “just my thoughts”

Making money and avoiding losing it are two different things. There is no guarantee that you won’t lose the money you’ve gained just because you make money well. Wealth can’t be achieved unless it’s supported by the right attitude toward money, proper management principles, and the psychological mindset and self-control suitable for the situation. You can gain some wealth through your skills and abilities, but this is less about being wealthy and more about your psychology, attitude toward money, and worldview. Therefore, being smart doesn’t necessarily make you rich. Most importantly, you need to have a clear understanding of your own identity. - Joseph’s “just my thoughts”

Business debates who benefits most from time. When borrowing money, the debtor gains the benefit of time until the repayment date. Since the period before repayment favors the debtor, the debtor compensates the creditor with interest. However, as the repayment date approaches, time shifts to favor the creditor. After the due date, the debtor loses the benefit of time, known as ‘acceleration of debt,’ and must repay both the principal and interest. Time benefits debtors but poses risks to creditors. Therefore, lending money without interest results in a loss. All of this illustrates the power of time. Time is money, and money derives its value from time. The most important factors for CEOs to focus on are time and, next, opportunity cost. - Joseph’s “just my thoughts”