Less ego more wealth

Saving money is the gap between your ego and your income and wealth is what you did not see. So wealth is created by suppressing what you could buy today in order to have more stuff or more option in the future. No matter how much you earn, you will never build wealth unless you can put a lid on how much fun you can have with your money right now, today.

If you want to do better as an investor, the single most powerful thing you can do in increase your time horizon. Time is the most powerful force in investing. It makes little thing grow nib and big mistakes fade away. It cannot neutralize luck and risk, but it pushes results closer toward what people deserve.

Become OK with a lot of things going wrong. You can be wrong half the time and still make a fortune, because a small minority of things account for the majority of outcomes. No matter what you are doing with your money you should be comfortable with a lot of stuff not working. That is just how the world is. So you should always measure how you have done by looking at your full portfolio, rather than individual investments. It is fine to have a large chunk of poor investments and a few outstanding ones. That is usually the nest case scenario. Judging how you have done by focusing on individual investment makes winner look more brilliant than they were, and losers appear more regrettable than they should.

Use money to gain control over your time, because not having control of your time is such a powerful and universal gap on happiness. The ability to do what you want, when you want with who you want for as long as you want to, pays the highest dividend that exists in finance.

Everyone’s goals and desires will change over time and the more extreme your past decisions were the more you may regret them as you evolve.

But you should be paranoid of ruinous risk because it prevents you from taking future risks that will pay off over time.