Dec 112006

As some of you know, a few months ago I bought stock in a company. Since that time, I’ve got a ~54% return. That means that for every dollar I invested, I’ve made fifty cents.

Now, as a rational investor, I know to keep my emotions in check to make sure I don’t make emotional and rash decisions. This usually means ignoring the pain of having a paper loss (that is, the stock goes down but you still own the shares –not a real loss). And, for me, this also includes reigning in my enthusiasm at making that gain. That sort of euphoria has many effects on my rationality, but I think the largest one is illustrated by this saying: "It is winning, not failing, that makes people care." And when you start caring and your ego gets involved…Well, it’s not stuff I like to face.

So I almost crush my enthusiasm, but being pessimistic. I got lucky. Which is true, I simply stacked the odds in my favour. There was no extraordinary skill used here.

However, I dealt with an emotion earlier this evening that I didn’t think would come up. Regret. Many of you know that I do not care for regrets and it has been a bit of a bad day for me in terms of controlling my emotions, so regret came up. I regret that I didn’t put more money into that stock (I put in all I had, so obviously this is irrational). Then I became frustrated that I hadn’t had more to put into the stock. All of this seems to stem from my goals of financial independance and how it feels like I coulda got it, if only I had a bit more capital. If I had invested a hundred grand, I would have 50,000 dollars right now. But I have nowhere near that. *Sigh*

I am feeling much better now (having gotten my emotions under control again). However, I write this as an illustration of something you might face, should you choose to follow the path of investing to become wealthy. It’s very important to keep your impartiality and your rationality. However, knowing a bit about where you’re going to be coming under attack by your own emotions helps you to counter them. Knowing is, truly, half the battle.

Dec 072006

I’m cheating because this isn’t a real blog entry. I justed wanted to update some information about me.

1. I’ve recently got a shiny new job, which is a bit of an adjustment. It’s part-time work at a datacenter downtown (with some really cool people). So, I’m finding I have less time for stuff.
2. I have a new very short video out. 30 seconds long and you wan watch it here. I think I’ve really grown as a filmmaker, etc. Plus I have gotten lots of help from some really great people (Kevin for shooting this stuff, James for doing the video and Scott for agreeing to do music). I hope to continue to do this kinda thing. It’s loads of fun and I believe there is at least some sort of profit in it. As you know, I don’t intend to do one thing exclusively (like get one job), rather do a lot of little things and I would love trials videos to be one of those things.
3. I’m still working on the long video. I realize it’s pretty late by now, but life intervened.
4. Friends are coming back from Halifax. Namely Samantha and Chris. Super excited to meet them.
5. About my year off. It is continuing. And it is still being amazing. I feel that I’ve learned more practical stuff in the past few months alone than I would have had I been in class. Of course, I’m challenging myself to learn all this stuff and to improve my life. Soon, I will incorporate a regular regimen of working out, fixing up my diet (reading some nutrition books now) and maybe become a biphasic sleeper (4-6 hours at night and then 1 to 2 hour nap).
6. As some of you know, I’m a cohost on the radio show, Beyond the Classroom on CIUT 89.5 FM. You can listen online at I’m debating staying on or not. The people I do it with are great, but I’m just not excited about doing it. I know I could expend the energy to make it more interesting, but I’m wondering whether I want to. I had made up my mind to quit about two weeks ago, but then my resolve failed. I hope to have made a decision on this by next week. In the meanwhile, I will continue the show.
7. I’m planning out what kinda stuff I want to do next year under the "Fun and Adventure" category. I’m planning on bungee jumping, skydiving, hang gliding and a bunch more stuff like that. This is conditional on my financial situation then, but it’s all still lots of fun to think about. I’m also open to any suggestions anyone may have about cool and fun stuff like that. I was recently checking out this site.
8. Life is exciting. Go live it!