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High Performance Habits -Brendon Burchard :Book Review

Most self-help books fail because they offer easy paths to success. Brendon Burchard’s High Performance Habits: How Extraordinary People Became That Way (Hay House, 2017) describes what it takes to become a person who creates ever-increasing levels of both well-being and external success over the long term. And it takes a lot.
Many factors can affect your long-term success—luck and timing, for instance. But Burchard sets out six things that “are under your controland improve your performance more than anything else we’ve measured.” First, seek clarity on who you want to be, how you want to interact with others, what you want, and what will bring you the greatest meaning. Second, generate energy so that you can maintain focus, effort, and well-being. Third, raise the necessity for exceptional performance, tapping into the reasons you absolutely must perform well. Fourth, increase productivity in your primary field of interest, focusing on prolific quality output. Fifth, develop influence with those around you. And sixth, demonstrate courage.
Burchard’s HP6 go beyond the usual nostrums: work hard, be passionate, focus on your strengths, practice a lot, stick to it, and be grateful. You can be a grateful hard worker and still be on the bottom of the pile. Or you can be passionate and practice a lot—and burn out.
Some of Burchard’s suggestions seem hokey, but for the most part they ring true. I, of course, haven’t tried the vast majority of them. I just finished reading the book, after all. But what’s the worst that can happen? That you do nothing, just keep going the way you always have. Unless, of course, you’re already a consistently high performer. 

Book Review: Super forecasting -Philip E Tetlock ,Dan Gardner

 Just finished Superforecasting by Phil Tetlock. I feel that someone else on this site reviewed this book but can’t say for certain. As a cross asset class trader and speculator, this book is the right combo of intelligence and irreverence. It is very digestible and one can whip through it pretty quick and really helped me just remember the power of process and accountability. If you liked, Thinking, Fast and Slow by Daniel Kahneman, or The Wisdom of Crowds by James Surowiecki, then you will probably enjoy this as well.

A couple of key points as it applies to investing:

– Total lack of accountability that he cites in the mainstream media as it pertains to forecasting geopolitics is pervasive in the financial media as well.
– Certainty is an illusion and we are playing a game of probabilities
– It’s not our persona that is responsible for our profits but our process and our adherence to executing it and constantly looking to improve it.
– Be a fox and not a hedgehog (metaphors for one who is adaptable vis-a-vis one who is stuck in a position)
– understand our neurological makeup insofar as how it determines impulsive investing decisions and juxtapose that to your process to blend the two.
– devastating mistakes can be made over misinterpreting the smallest details.

China to increase budget deficit in 2016 -More Fiscal Stimulus ?

China Daily reports that fiscal policy in China will become ‘more forceful’ in 2016

An official statement (issued after a national fiscal work conference) from China says

  • China will increase its budget deficit next year
  • Will gradually raise its fiscal deficit ratio
  • Increase government debt issuance and set a limit for newly increased local government debt
  • Will continue to cut taxes

Expectations are that the budget deficit will rise to 3% of GDP

  • Compared with 2.3% for 2015
  • And 2.1% in 2014-

Note – the official statement the China Daily is reporting on was out on Monday, and its impact may well have already flowed through to the AUD, which was up during European and US trade overnight.

4 Rules from Great Traders

Overcome Fear :Great  traders know that fear can choke our decision process and cause us to avoid taking risks.Fear also can paralyze you when you need to act quickly and decisively to save yourself from danger-the deer-in -the-headlights syndrome.All great traders have mastered their fears and are able to act decisively when needed.

Remain Flexible :As a trader ,you never know which stock or which market may make a move.This is the essence of uncertainty.Your don’t know what is going to happen.When you don’t know what is going to happen ,the best strategy is to be ready for anything.

Prepare to be wrong :If you don’t know what the future will bring and you choose a trade that assumes a particular outcome,you are possibly going to be wrong.Depending on the type of trade,in many cases it can even be more likely that you will lose money then that you will win money.What matters in the end is total money won and lost ,not whether you are right more ofthen then wrong.Great Traders are comfortable making decisions when they know they could be wrong .

Focus on decisions ,not out comes :One of the reasons that great raders can so easily reverse course is that they have a more sophisticated view of the meaning of error for decisions made under uncertainty.They understand that the face that things did not turn out the way they had hoped does not necessarily mean that taking the trade was a mistake.They know that many times good ideas dont’t work out.The very presence of uncertanity ensures that you will be wrong some of the time.All great traders put trades on for a particular reason ,and they take them off for a particular reason too.Great traders focus on the reasons for the trades instead of the outcomes for few given trades.

The Marathon Monks

The Tendai monks believe that enlightenment can be achieved during your current life, but only through extreme self–denial.

For the Tendai, the ultimate act of self–denial — and the route to enlightenment — is a physical challenge known as the Kaihogyo. Because of this challenge, the Tendai are often called the “Marathon Monks.”

But the Kaihogyo is much more than a marathon.

 The Kaihogyo

The Kaihogyo is a 1,000 day challenge that takes place over seven years.

If a monk chooses to undertake this challenge, this is what awaits him…

During Year 1, the monk must run 30 km per day (about 18 miles) for 100 straight days.

During Year 2, the monk must again run 30 km per day for 100 straight days.

During Year 3, the monk must once more run 30 km per day for 100 straight days.

During Year 4, the monk must run 30 km per day. This time for 200 straight days.

During Year 5, the monk must again run 30 km per day for 200 straight days. After completing the fifth year of running, the monk must go 9 consecutive days without food, water, or rest. Two monks stand beside him at all times to ensure that he does not fall asleep.

During Year 6, the monk must run 60 km (about 37 miles) per day for 100 straight days.

During Year 7, the monk must run 84 km (about 52 miles) per day for 100 straight days. (52 miles per day!) And then, he must run 30 km per day for the final 100 days.

The sheer volume of running is incredible, of course, but there is one final challenge that makes The Kaihogyo unlike any other feat… (more…)

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