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Culture War Roundup for the week of November 14, 2022

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I think this is the case, because I can never understand why anyone who gets that big and that rich doesn't immediately diversify a minimum of 25% of their holdings into other assets, such as blue chip shares, real estate, commodities, bonds etc to financially protect themselves in case of company collapse. This goes for companies like Tesla, but especially for companies like FTX operating in unstable high risk sectors.

People who make reasonable decisions like that never become temporary crypto-billionares in the first place.

Risk-averse people usually aren't the ones getting this rich in the first place.

Also, trying to diversify out of your own company looks bad to investors and risks a crash by itself.

Also, trying to diversify out of your own company looks bad to investors

This is universally reported to be true, but it's so strange to me. Should they also refuse to get in a taxi if they see the driver wearing a seatbelt, because a really good driver wouldn't need one? Should they be suspicious if they see your software going through integration tests, because that means you're not hiring really good coders who don't write bugs?

At some point the population of "people super confident that they can't fail, because they've accurately assessed that they're just that good" you're shooting for has to be a fraction of the population of "people super confident that they can't fail, because they're fools".

I'd guess it's not just about confidence/commitment but also preventing downright scams. Theranos-style fake businesses would be a lot more common if it was easy to cash out before the fraud gets uncovered.

Hence why I said only diversify out ~25%, but I take your meaning. Investors seem to expect all in, ride or die from the builders.