Morgan Housel, a Partner at Collaborative Fund and former columnist, delves into the psychology of money and investing. He discusses how personal history shapes our views on economic risk and the distinction between being rich and truly wealthy. Housel highlights the problem of social comparison and its impact on happiness. The conversation explores the role of luck, the power of compounding, and the importance of saving and investing wisely, revealing that genuine financial freedom is a crucial pillar of life satisfaction.
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question_answer ANECDOTE
Valet to Finance
Morgan Housel bypassed high school to ski race, leaving him with a limited education.
Working as a valet exposed him to wealth, sparking his initial interest in finance.
question_answer ANECDOTE
Banking to Writing
Housel pursued finance, interning in investment banking after graduating with an economics degree.
He quickly realized the hazing-heavy culture wasn't for him and left.
question_answer ANECDOTE
Private Equity and the Crisis
Housel transitioned to a private equity internship during the 2007 financial crisis.
Ultimately, he became a financial writer, an unexpected but fulfilling career path.
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In 'The Psychology of Money,' Morgan Housel delves into the psychological and emotional aspects of financial decisions. The book consists of 19 short stories that illustrate how personal history, worldview, emotions, and biases influence financial outcomes. Housel emphasizes the importance of behavior over knowledge in managing money, highlighting the power of compounding, the dangers of greed, and the pursuit of happiness beyond mere wealth accumulation. He advocates for a frugal lifestyle, long-term perspective, and a balanced approach to investing, stressing that financial success is more about mindset and discipline than about technical financial knowledge[2][3][4].
Will
Mark Manson
Will Smith
In 'Will', Will Smith opens up about his life, sharing anecdotes from his early days in West Philadelphia, his rise in the music industry as part of DJ Jazzy Jeff and the Fresh Prince, and his subsequent success in Hollywood. The book delves into his complex relationship with his father, the impact of his family on his life, and his journey to align outer success with inner happiness and human connection. Written with the help of Mark Manson, the book offers a blend of vulnerability, humor, and life lessons that reflect Will Smith's trademark style and larger-than-life personality.
Sam Harris speaks with Morgan Housel about the psychology of money and investing. They discuss how personal history shapes one’s view of economic risk, the implications of not understanding the future, being rich vs being wealthy, how we measure success, the problem of social comparison, happiness vs life satisfaction, saving and investing, Warren Buffett and the power of compounding, rational vs reasonable decisions, the role of luck, optimism vs pessimism, dollar-cost averaging, and other topics.
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