If there was one book on Money you had to read- this is it!

The psychology of money by Morgan Housel, is the one book on money I think everyone should read. Especially more since all of us are in the business of money. There is a lot of the book in terms of rules around managing money that can be incorporated within our thought processes which I believe can make our financial journey fruitful.

Some bits from the book that I liked, you can find the summary here

“The premise of this book is that doing well with money has a little to do with how smart you are and a lot to do with how you behave .”

“Your personal experiences with money make up maybe 0.00000001% of what’s happened in the world, but maybe 80% of how you think the world works.”

“Luck and risk are both the reality that every outcome in life is guided by forces other than individual effort. They are so similar that you can’t believe in one without equally respecting the other. They both happen because the world is too complex to allow 100% of your actions to dictate 100% of your outcomes .”

“Life isn’t any fun without a sense of enough. Happiness, as it’s said, is just results minus expectations.”

“If something compounds—if a little growth serves as the fuel for future growth—a small starting base can lead to results so extraordinary they seem to defy logic. It can be so logic-defying that you underestimate what’s possible, where growth comes from, and what it can lead to.”

“There are a million ways to get wealthy … but there’s only one way to stay wealthy: some combination of frugality and paranoia.”

“A lot of things in business and investing work this way. Long tails—the farthest ends of a distribution of outcomes—have tremendous influence in finance, where a small number of events can account for the majority of outcomes."

“The ability to do what you want, when you want, with who you want, for as long as you want, is priceless. It is the highest dividend money pays. “

“No one is impressed with your possessions as much as you are.”

“Spending money to show people how much money you have is the fastest way to have less money.”

“Building wealth has little to do with your income or investment returns, and lots to do with your savings rate.”

Make sure to read the book, it is a very easy read - Have a beautiful weekend friends :slight_smile: .

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Many Thanks @Meher_Smaran for sharing and introducing to a great blog and the book.

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