3 ms·
To be fair trading is a zero-sum game with extreme information asymmetry between players. Business/investment is mostly positive-sum. I don't think we can extra
by zelly 7y ago
To be fair trading is a zero-sum game with extreme information asymmetry between players. Business/investment is mostly positive-sum. I don't think we can extrapolate lessons from trading to the real world except the lizard-brain human psychology of it all.
You can have a trading strategy that loses 999 trades but hits the jackpot 1/1000 times, and you can still lose all your money because you don't have infinite capital. In business you can try an outlandish moonshot and increase your odds of winning every day because your work gets you closer to the goal. (And typically your business goal isn't to take money from resourceful hedge funds on the other side of the trading desk, so it's a little easier.)