Welcome to the Sunday Briefing newsletter where we share some of the interesting lessons in life, business, and investing that we’ve come across during the week.
Latest on Junto
One note was published on Junto during the week.
Risk, Uncertainty, and Ignorance. As simple as Richard Zeckhauser’s ideas are, as important they are too. This note discusses an important mental model I learned from Zeckhauser.
What we’ve been reading
Interview with Norbert Lou of Punch Card Capital. I pound myself on the head for first having discovered this investor profile from 2011 of Norbert Lou now.
“In college I had seen a study that said a portfolio of six to eight stocks could get you most of the statistical benefits of diversification, so I never started out with the idea that you had to have 50 to 100 stocks to be prudent. And I hadn’t been drilled into believing that a position over 5 percent was considered big, which I might have if I’d started working at Fidelity or somewhere like that. I knew NVR was better than anything else I had seen to that point, and I knew that I should buy as much as I could stomach.”
Twitter is a professional network for the Creators whose ideas and products shape the conversation and the world. It should be proud of that. Twitter needs to get its swagger back, and a full reset on priorities and a bold new vision would do just that.
When you go through life thinking low-probability events are zero-probability events, you’re bound to get stuck in an illusion that what happened to someone else couldn’t also happen to you.
Quote of the week
Howard Marks on what’s knowable.
“The investor’s time is better spent trying to gain a knowledge advantage regarding ‘the knowable’: industries, companies, and securities. The more micro your focus, the great the likelihood you can learn things others don’t.”
Only by accepting the unknown can you act logically when it’s most needed.
Crises are inevitable and you should not underestimate the shaking of your rationality when they arrive.
Photo of the week
I’m going to use this brief moment to announce that I just turned out the luckiest man in the world when I married the love of my life, Julie, this week on the beach in Tulum, Mexico.
Have a great coming week,