Richard Branson
“It is only by being bold that you get anywhere. If you are a risk-taker, then the art is to protect the downside.”
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We always think about the risks involved in making a big chance in life. We consider the risks and then decide not to do it. But, the risks shouldn't scare us into inaction.
You can't achieve anything if you lock yourself up in your home. To live life to the fullest, you need to make bold moves. And this doesn't necessarily imply risk-taking.
Try to limit your potential losses. Protect the downside.
Your most valuable resource is time. Yet, most spend their time working on other people's goals.
Use your time wisely by daily improving your skills, learning new things and building relationships. Then you will always have something to fall back on.
If you're in business, consider serving more than one group of customers, or focus on more than one industry.
When sales don't perform well in one area, you always have another option.
Invest in something that has an underlying value.
Limit your potential losses by diversifying. For instance, invest in an index fund, real estate, and business.
The purpose of protecting the downside is to prevent losing everything. You shouldn't put all your life energy into a single thing. This is true for your personal life too.
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Ask yourself: What’s within my control? Is there something I can do right now? Can I make the situation better? Then do it. And do the job well.
If you can’t, choose to do something else. Have different things in your life that you can give your attention to. For example: learn a new skill, get some exercise, work on your goals.
Consistent investing is essential. Investing as a habit will pay off in the long run.
It is most important to start with earning more, then saving more, then investing. People want to skip the first two steps and day-trade themselves to wealth, but most will only lose money by chasing quick money-making schemes. In the end, building wealth boils down to good habits.
