Taking the “Risks” Out Of Investing — A Basketball Analogy 🏀🗑️
Taking the “Risks” Out Of Investing — A Basketball Analogy 🏀🗑️
I hear all the time about how “risky” some investments are.
Growing up, I used to watch players like Robert Horry, Reggie Miller, or Ray Allen sink game-winning 3 pointers at will.
No one tells a pro basketball player like Stephen Curry or LeBron James that shooting a game-winning 3 pointer is risky — it’s actually the smart play.
Those types of shots were only risky for those who could barely make a layup (like myself).
If you don’t know the game and don’t know what you’re doing, then yes, shooting a 3 pointer is always risky.
It’s probably best you just watch from the stands.
First practice sinking paper balls in the wastebasket 🗑️.
The same goes for investing.
The secret is, if you don’t understand a particular deal in front of you, don’t just write it off as “too risky”.
Admit to yourself that you currently don’t have the knowledge and experience for that particular offer
— Simply say “I don’t know.”
Then do like the NBA legends, put in the work to learn and gain as much experience as possible.
In most cases the risks “magically” seem to disappear.
