1/ Short Selling 101

With the markets continuing to rally, there has been more talk of “shorting” or “short selling” stocks.

But what does that mean and how does it work?

Here’s a quick educational primer: Short Selling 101

Memento Mori is a powerful philosophical tool for finding clarity and unlocking growth in your career, startup, business, writing, or relationships.

A thread on its meaning and how it can change your life...

Memento Mori is a Latin phrase that translates to "remember that you must die."

A favorite of Stoic philosophy, it is a reminder of the certainty and inescapability of death.

It is not intended to be morbid or dark; rather, to clarify, illuminate, and inspire.

Memento Mori - the idea of remembering your mortality - has been around for millennia.

The phrase itself is believed to have originated in the Roman Empire.

After military victories, the heroes were paraded through the streets on chariots.

They may have felt like Gods...

But the Romans would place one person in the chariot whose sole responsibility was to whisper in the hero's ear throughout the parade.

"Respice post te. Hominem te esse memento. Memento mori!"

Translation: "Look behind. Remember thou art mortal. Remember that you must die!"

Memento Mori served as a tool to invoke humility in moments of glory.

It can also be a tool for providing clarity.

The Roman Emperor Marcus Aurelius famously wrote in his Meditations, "You could leave life right now. Let that determine what you do and say and think."

Warren Buffett is a treasure trove of wisdom.

But contrary to what you have been told, most of it has nothing to do with investing.

10 powerful lessons for life from the Oracle of Omaha:

Wait For A Juicy Pitch

“You don't have to swing at everything - you can wait for your pitch."

Life doesn’t reward you for the number of swings you take.

Focus on identifying the juiciest pitch.

When it comes, swing hard and don’t miss it.

Just Stop Digging

“The most important thing to do if you find yourself in a hole is to stop digging."

When things aren’t working, change course and try something different.

Be nimble. Be agile.

When you find yourself at the bottom of a hole, stop digging and climb out of it.

Exploit Disconnects

“Price is what you pay. Value is what you get.”

Seek out situations where there is a clear disconnect between price and value.

This applies to investing, but it’s more broadly a mental model for life.

Identify disconnects. Exploit them to your advantage.

Be Contrarian

“Be fearful when others are greedy and greedy when others are fearful.”

Following the crowd is easy, but it can be a trap.

Learn to think independently. Come to your own decisions. Develop your own mental models.

Your unique perspectives are your superpower.

10 common mental errors that derail decision-making:

Survivorship Bias

History is written by the victors.

But in studying and learning from "survivors”—and systematically ignoring "casualties”—we create material distortions in our conclusions.

We overestimate the odds of success because we only read about the successes!

Naïve Realism

Humans generally think very highly of themselves.

We tend to believe that we see the world with perfect objectivity.

We also assume that people who disagree with us must be ignorant, uninformed, or biased.

This error sits at the core of many societal problems.

The Dunning-Kruger Effect

Humans are notoriously incapable of objective evaluation of their own competency levels.

People with a low ability at a task are prone to systematically overestimate their ability at that task.

Example: Everyone is a genius in a bull market.

Loss Aversion

Humans tend to prefer avoiding losses vs. achieving gains—the pain of losing something is more powerful than the pleasure of winning it.

We will typically do more to avoid losses than we will to seek gains.

We systematically overvalue what we already have.

Life rules worth breaking:

Wait for the Perfect Moment

This rule has paralyzed would-be action-takers for generations.

The reality: there is no such thing as the perfect moment.

Sometimes you just have to open the door, jump out of the plane, and hope you packed the parachute tight.

You Have to Work Hard to Succeed

Hard work is important—but it's relative, not absolute.

In the Digital Age—when creative and inspired work stands out and is rewarded—what you work on is more important than how hard you work.

Play your game, not theirs.

You’ll play it better.

Let Things Play Out

This isn't a movie that you're watching on your TV. You are not a passive observer of your own life.

There are times to sit back, and there are times to push.

Learn to identify the difference and never be afraid to provide a little push.

Don't Ask Too Many Questions

Children are born with an insatiable curiosity, but somewhere along the line, we are told to stop asking questions.

The most successful people in the world never listened—they broke this rule.

Ask questions. Be curious. Be interested.