Risk vs Optimism

Markets can remain irrational longer than you can remain solvent.
~John Maynard Keynes

What is risk, and why is the evaluation of risk important when investing? What is optimism, and why is optimism deadly when we are investing?

Managing Investment Risk

Thoughts about risk are expressed in this 72-second video.


Our Choices

Since investing is risky, we have two choices:

If you’re driving down a road and you see a pothole, you can turn around and avoid the road altogether. Or, if you’re a skillful driver, you can navigate around the pothole and minimize the impact on your journey.

Which path do you prefer?