AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
Hormesis is highlighted as beneficial, where small doses of harmful substances can trigger overreactions for overall improvement. The discussion on modernity contrasts stability with fragility, emphasizing how top-down interventions can lead to naive decisions. The example of Switzerland showcases stability from bottom-up canton structures, linking the variation in local decisions to increased national stability.
Concave graphs curve inward, indicating worsening outcomes with increased stressors. In contrast, convex graphs shift upward, showing improved outcomes with heightened stress. The concept is applied to anti-fragility, where increased stresses lead to more positive results, emphasizing the importance of variability in achieving resilience.
Understanding concavity versus convexity aids in dealing with black swans by showcasing how anti-fragility thrives on increased stressors. The discussion focuses on leveraging variance in variables over averages to build strength and resilience, aligning with the principles of anti-fragility.
He discusses how stressors, whether small and accumulated over time, like lifting a 10kg weight multiple times, can lead to hormetic stress, but may not provide the desired outcome. He emphasizes that training for strength involves heavier weights with lower reps for better results.
Longevity in business is compared to stressors over time, indicating that investing in startups with a higher likelihood of survival can yield better outcomes. He contrasts investing in established companies like OpenAI with new startups, highlighting the value of time as a critical stressor in decision-making.
The barbell strategy, comprising mostly safe investments with a small portion for high-risk ventures, is explored for achieving antifragility. The concept advises reducing downside risk while keeping the upside uncapped. Examples of balancing risk and optionality in investments and careers are provided, emphasizing the importance of long-term strategy for robustness and growth.
In this quote, the concept of exposing fraud and maintaining moral imperatives is highlighted. The idea of not condoning fraudulent actions by staying silent is emphasized. The quote stresses the importance of speaking out against fraud to uphold ethical standards.
The concept of 'skin in the game' and not being able to trust someone on a treadmill is discussed. The quote delves into how individuals with a direct stake in the outcomes are more trustworthy compared to those lacking personal investment. Having 'skin in the game' ensures the reliability and credibility of individuals.
The quote addresses the ethical implications of professionals with and without 'skin in the game.' It highlights the importance of individuals having personal stakes in their endeavors to maintain integrity and trustworthiness. The presence of 'skin in the game' influences the ethical conduct and commitment of individuals in their respective professions.
The importance of authenticity, ethics, and the ability to detect fraud in individuals is highlighted in 'Skin in the Game'. Taleb emphasizes the significance of being genuine, caring for society, and standing against fraud. By showcasing examples like David Sacks in Silicon Valley, Taleb advocates for being true to one's principles, avoiding fraudulence, and upholding ethics in all actions.
'Skin in the Game' delves into the concept of Via Negativa as a guide in decision-making. Taleb emphasizes simplicity and the importance of making decisions based on minimal reasons, avoiding the trap of convincing oneself with multiple justifications. The book suggests that clear decision-making requires focusing on essential reasons rather than getting caught up in complex analyses, urging readers to prioritize single, straightforward reasons over intricate considerations for robust outcomes.
Learn from history's Greatest Minds — and find Timeless ideas you can apply to business and life. Every episode we explore a Lindy book: We strive to become polymaths like our investing and business icons, pulling the Big Ideas from a wide range of disciplines to help us become better investors and operators. For the curious-minded seeking Worldly Wisdom. Join 3,000+ others by subscribing @ rationalvc.com to get free access to essays and exclusive content.
For the video version of this episode click here.
Timestamps:
(00:00) Intro
(11:39) Antifragile definition
(19:13) Introduction to the core concepts
(22:04) Hormesis, naïve interventionism, iatrogenics
(33:55) Peter Kaufmann and Charlie Munger
(35:57) Modernity, Switzerland, political systems
(55:21) Concavity vs Convexity and Black Swans
(1:07:30) FU Money and wealth
(1:13:12) Optionality and wealth
(1:21:47) Barbell strategy
(1:43:02) Rational Flaneur
(1:47:23) The Lindy Effect
(2:01:22) Raising antifragile kids
(2:12:19) Green Lumbar fallacy
(2:23:53) Signal vs Noise
(2:29:00) Via Negativa
(2:51:07) Ethics of Antifragility and Skin in the Game
(2:57:36) Deep dives and quotes
(3:35:32) Closing thoughts
—
Our website (all essays and podcasts): rationalvc.com Our investment fund: rational.fund Cyrus' Twitter: x.com/CyrusYari Iman's Twitter: x.com/iman_olya
—
Links mentioned in the episode:
Cyrus referenced Tweets: https://x.com/CyrusYari/status/1792279103862681603 https://x.com/CyrusYari/status/1757715505819906419 https://x.com/CyrusYari/status/1679174178195353600
Peter Kauffman Rational VC episode: https://www.youtube.com/watch?v=kMiOFC07X8M&t=8s
The Black Swan episode: https://youtu.be/HVGJQ25Cr2k?si=8b2DPBPX80Pgbgag
Vizi Andrei: https://twitter.com/viziandrei
Daniel Vassallo: https://twitter.com/dvassallo
Cyrus essay on Angel Investing (incl. Barbell Investing): https://www.rationalvc.com/articles/angel
WhosAria Bars of Wisdom newsletter: https://www.barsofwisdom.com
Fat Tony's Community: https://fattonys.net/
—
Disclaimer: The materials provided are solely for informational or entertainment purposes and do not constitute investment or legal advice. All opinions expressed by hosts and guests are solely their own opinions and do not reflect the opinion of their employer(s).
#Timeless #wisdom #knowledge #books #polymaths
Listen to all your favourite podcasts with AI-powered features
Listen to the best highlights from the podcasts you love and dive into the full episode
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
Listen to all your favourite podcasts with AI-powered features
Listen to the best highlights from the podcasts you love and dive into the full episode