There’s No Such Thing as Mosquito Week
“Headlines, in a way, are what mislead you because bad news is a headline, and gradual improvement is not”
– Bill Gates
What would you guess if I asked you what is the longest running cable TV event in history? Congratulations if you answered “Shark Week” which first was televised way back in 1988. Not surprisingly many of us are scared of sharks. Even I, somewhat sheepishly, admit that the thought of becoming a tasty treat crosses my mind every time I dip my toes into salt water. Which of course is rather ridiculous when you think of the odds of actually dying from a shark attack (See chart below for details).
So what do sharks have to do with Wealth with Wisdom? Well, it would seem we humans are really quite terrible at calculating risk. In much the same way most of us massively overestimate the risk of us becoming an appetizer for Jaws. So it is when it comes to the stock market.
For more on this I encourage you to click thru to Ben Carlson’s excellent (and short!) post on the subject.