Markets are closed during the New Year, so I have time to indulge in wild thoughts. — About investing, money, and happiness

Investing seven losses, two break-even, one profit is very reasonable. People who know how to use money to make more money will naturally have more and more, as money flows to places where they can grow comfortably. Clearly, less than 10% of people are especially good at making money.

I’ve asked many people one question: do you like money? And asked them to explain how they like it. The answers are mostly affirmative, but the difference is that some like money because they like spending it, some like money because they like earning it, and some like money simply because they like money itself. It’s obvious that liking money and liking to spend money are two different things. Loving to spend money is not loving money; it’s the ability to quickly stay away from wealth. Loving to earn money, liking money, and being able to make money—only those who spend less than they earn will have money, right? Missing any one of these is not enough.

Extra money is meant for doing extra things. People don’t really need that much. I’ve seen many wealthy people who are that way because they dislike trouble or dislike having outsiders at home, so they choose smaller houses (often with top-tier property management). Living in a villa that you can’t control doesn’t truly bring happiness.

The amount of money you can control is the amount you have. Wealth beyond your control will flow away. Without the ability, earning money by luck will definitely lead to losing it all through skill.

How do ordinary people make money? If ordinary people can’t make money, then if you do make money and can keep it, you are not an ordinary person.

The worries of those without money usually boil down to not having money. The worries of those with money are because they have money, and those worries become the worry itself.

Having money is happy, but it’s not as happy as you might imagine, and the sense of happiness decreases year by year.

Having too much money may increase worries because managing and passing it on is exhausting. The more money you have, the higher your ability needs to be to manage it, to handle relationships, and to ensure its preservation and appreciation. Wanting to keep it and grow it makes happiness difficult unless you just want to spend it.

Knowing how to spend money is also very difficult. Excessive indulgence is not a good way to spend money; it’s a way to ruin oneself. Not indulging makes spending money very hard. For example, charity—donating to a reputable organization or helping truly deserving people—while also gaining a sense of fulfillment, is actually very difficult.

Leaving money for children is also very difficult, and it’s not necessarily good for the children, nor necessarily good for oneself. Immigration and trusts are quite tiring. The first generation of wealth can be directly taken over by the second generation, but it’s beyond control. Leaving money for children doesn’t guarantee they will love you more. Many children, especially those not from the same parents, are likely to cause disaster.

I hope everyone who reads this post will earn big money in the Year of the Horse and have the ability to control their cash.