This week I decided to launch the brand Reframe Finance where I will share unique financial reflections, principles, and mental models mixed with practical philosophy. This is the first issue of this newsletter series. I’m glad to have you on board!
The more irrational the market behaves, the greater the opportunity.
Wealth consists not in having great possessions, but in having few wants.
Those who talk should do and only those who do should talk.
Be greedy when others are fearful, and fearful when others are greedy.
Markets can remain irrational longer than you can remain solvent.
To the man with a hammer, the world looks like a nail.
Why Habits Matter
We are what we repeatedly do. Thus, financial success largely depends on good habits practiced over a long time.
Each habit can be seen as a loop consisting of a cue that triggers you to do a routine in exchange for a reward. By keeping the same cue and reward but changing the routine, you can replace bad habits with good ones.
One financially smart routine that you can implement is to pay yourself first. Whenever you get paid (cue), automatically save a fixed amount of the money and invest another fixed portion in low-cost ETFs (routine), then enjoy financial security and long-term compounding gains (reward).
With consistency comes exponential improvement.
“Don't tell me what you think, tell me what you have in your portfolio.” — N. Taleb
Everyone should have skin in the game and be accountable for their actions. Those that do not take risks for their opinions are nothing.
I only preach what I practice. As such, here is an overview of my investment portfolio.
That is all for today guys,
To new perspectives,
P.S. If you found this newsletter insightful, please consider sharing it with a friend.