Haiku Investing From The Philosophical Investor

Haiku InvestingSince I will be a traveling man for the next few weeks, I thought I would tap into some of my right brain abilities, limited as they may be, and share some haiku investing with you for the next two weeks. Haikus are pretty fun to noodle around with because of the limits they impose on the creator of them. They have to be three lines in which the first one has five syllables, the second seven, and the third line five syllables. That’s it. No more, no less. They’re also known for bringing together images, concepts, ideas, and themes that don’t seemingly go together.

While I stay fairly uniform in my investment haikus, I have found that finding connections between the seemingly unconnectable can generate keen insights from time to time. I hope you enjoy these and look forward to any feedback you may have.

Haiku Investing

Spend less than you earn

Step one in becoming rich

Start saving today

 

A dollar not lost

Is not valued highly enough

Losses are a tax

 

When the odds are right

Load the boat courageously

This grows capital

 

Use leverage wisely

It can be your friend or foe

Debt magnifies returns

 

Focus on what you know

Avoid that which you don’t know

And then you will know

 

Impulse kills capital

Check your emotions always

Patience is a virtue

 

Live below your means

This builds a margin of safety

Be thankful for limits

 

Independent thought

Keeps one away from the herd

This reduces risk

 

Keep a lot of cash

Always remain on the field

This creates options

 

Stay out of corners

Optionality is key

Watch Dirty Dancing

 

Seek worldly wisdom

Go study mental models

And learn from others

 

Cultivate courage

This will compound capital

Risks must be taken

 

Don’t lose sight of taxes

Make Uncle Sam your partner

Defer when you can

 

Your job is job one

Your circle of competence

Don’t lose sight of this

 

Don’t be a miser

Enjoy the fruits of labor

Make the world better

 

Focus on your basket

Don’t over diversify

Attention to details

 

Listen to your gut

The right brain has great value

Analysis has limits

 

Know that you don’t know

This was Socrates’ brilliance

Markets are humbling

 

What is your premise?

Articulate the reasons

One must expect change

 

We all have cash needs

Monitor liquidity

Don’t get over your skis

 

Tame your emotions

We are our worst enemies

Respond, don’t react

 

While gains are welcomed

Focus on loss avoidance first

This manages risk


Over to You:

Well? Did you enjoy my Haiku Investing?


2 comments on “Haiku Investing From The Philosophical Investor
  1. Lauretta says:

    I like your Haiku Investing! When you say “Debt magnifies returns,” are you referring to all debt, minimum debt or variable rate debt? I think I know what your meaning is but thought I’d ask for clarification.

  2. Paul Curtis says:

    I have one I try to follow,never ever spent the principle

Leave a Reply

*