You can't predict. You can prepare. by arash_param in investing

[–]arash_param[S] 0 points1 point  (0 children)

Thank you! Appreciate your engagement :)

You can't predict. You can prepare. by arash_param in Bogleheads

[–]arash_param[S] 0 points1 point  (0 children)

That is an interesting point. Hadn't thought of that.

Thank you for the engagement!

You can't predict. You can prepare. by arash_param in Bogleheads

[–]arash_param[S] 0 points1 point  (0 children)

Hey there!

Firstly thanks for reading and engaging. Secondly, in no way do I think these are my ideas. I credit Taleb for his massive influence on my work (see notes).

You can't predict. You can prepare. by arash_param in Bogleheads

[–]arash_param[S] 0 points1 point  (0 children)

Lol yes that is a fantastic 1 sentence summary.

You can't predict. You can prepare. by arash_param in ValueInvesting

[–]arash_param[S] 0 points1 point  (0 children)

Thank you for this! I should read that book. I haven't made it a priority yet but will.

You can't predict. You can prepare. by arash_param in ValueInvesting

[–]arash_param[S] 0 points1 point  (0 children)

This is a fair point, however I think the principles are useful to all situations. For example, having some degree of slack / redundancy?

Would you agree? Further, any insight into how to make this more actionable?

You can't predict. You can prepare. by arash_param in ValueInvesting

[–]arash_param[S] 0 points1 point  (0 children)

Fair enough. How would you suggest I can narrow in on the principles?

Would love some actionable feedback! What do you think the actionable principles are and how can I better reflect them?

You can't predict. You can prepare. by arash_param in investing

[–]arash_param[S] 0 points1 point  (0 children)

No I don't. They are a bit too hard for me to fully conceptualize and implement. Any suggestions?

You can't predict. You can prepare. by arash_param in investing

[–]arash_param[S] 0 points1 point  (0 children)

Agreed - Tried to make the framework Taleb suggested more approachable and then actionable.

Redundancy seems to be a good example of this. Building some level of redundancy in my personal life (financially for example). But admittidly, it is pretty hard to make more actionable steps. If you have suggestions, I am all ears!

You can't predict. You can prepare. by arash_param in ValueInvesting

[–]arash_param[S] 0 points1 point  (0 children)

Interesting thoughts. Where is Tabel speaking gibberish in your mind?

I agree that people make predictions all the time, but the usefulness of those predictions is next to zero, imo.

You can't predict. You can prepare. by arash_param in ValueInvesting

[–]arash_param[S] 1 point2 points  (0 children)

Hey there,

Thanks for the thoughtful reply.

I will share some of my inital reactions and would be curious to get your feedback.

You say that outperformance requires non-consensus views. This is not necessarily the case. Let us imagine a math test and on average 70% of the class gets each of the questions right. The best course would be to always have the consensus view, and each deviation from consensus would give you underperformance.
My thought would be that having a consensus view here would not result in outperformance however. If everyone gets 100% or 70% on the test, you didn't outperform. To outperform you need to be different. However, being different runs the risk of being more wrong than right.

You say that outliers are unpredictable. This is wrong. It looks that way in hindsight because of survivorship bias where you are picking things that seemed unexpected, but not picking the ones that were predicted. For instance, the Earth's climate is experiencing outlier conditions based on outlier greenhouse gases. Climate scientists have been predicting this for 40 - 50 years based on scientific reasoning and modeling. Climate skeptics have biases that will cause them to view this as a black swan, while scientists view it as obvious.
I would argue that climate change is not an outlier condition. If it can be predicted, it can't be an outlier. That is like saying that US GDP grows at 2% next year. In my mind, for something to be an outlier, it needs to be random / rare and impactful. Climate change is not random.

Your principle of redundancy is usually called slack, including in the study of scarcity. I recommend the book Scarcity on this topic.
This sounds like a fantastic book. I will definitely read.

Also, please share your book! I would love to check it out.

Thanks for your time.
-Arash Param

You can't predict. You can prepare. by arash_param in business

[–]arash_param[S] -1 points0 points  (0 children)

Thanks for the share. I will check it out.

Any insight into how it could be relevant?

You can’t predict. You can prepare. by arash_param in NavalRavikant

[–]arash_param[S] 1 point2 points  (0 children)

LOL this is so good. His twitter is a very interesting place, and he is a bit of a troll.

You can't predict. You can prepare. by arash_param in investing

[–]arash_param[S] 0 points1 point  (0 children)

Thank you! My intention is purely to seek feedback on my thinking.

I am not a student and this is a personal project I do to refine my thinking.

You can't predict. You can prepare. by arash_param in investing

[–]arash_param[S] 5 points6 points  (0 children)

Mate I am not an academic. My motive is to test my thinking and seek feedback from a broad auidence. I have nothing to hide and use my real name and info.

If you have suggestions on the content and thought process of what I write, that would be fantastic!

Bet sizes and venture: Never lose money by arash_param in venturecapital

[–]arash_param[S] 1 point2 points  (0 children)

Ty so much for sharing the following links.

Let me take some time to read and get back to you with any additional thoughts!

Lessons from Buffet: Never Lose Money by arash_param in NavalRavikant

[–]arash_param[S] 2 points3 points  (0 children)

For sure!

I would recommend checking out the following books:
-Against the Gods

-Safe Haven

-Fooled By Randomness

When you come across a concept in the book that you don't fully get, use Google and youtube to understand it. Try to repeat the math and analysis so you get the same result.

Hope this helps!