Three simple Reasons

Dear Ladies and Gentlemen,

There are probably three simple reasons that make us think, communicate, act and behave the way we do. Now, I know, this may seem somewhat simplistic and I agree, it is but not without purpose.

Reason Number one – Simplification

Most people can not and/or do not want to spend enough time understanding complex topics. Even more so, if complex issues do not offer immediate and simple solutions because maybe there are just no such simple solutions readily available at any given moment, but instead imaginably a range of scenarios at the most. In such moments, people may be attracted to simplified reasoning perhaps offered by politicians, bloggers, religion, or in financial markets, investment gurus.

You know, in financial markets (but definitely not only in financial markets), absolutely nothing is ever crystal clear; no matter what one thinks and/or believes, investment decisions always require a certain humbleness and the acceptance of unknowns. However, financial markets have a self-regulating mechanism. If market participants push things too far, which at times they tend to do, it is usually followed by a (significant) correction.

Reason Number two – Ego

Yes, Ladies and Gentlemen, our ego makes it so difficult for us to admit to having missed a point, been wrong, change our views, overturn a decision and even worse, admit to peers, family, and friends to have made a mistake. We are just humans and want to shine, be successful, and admired. Fair enough! And you know what?

Reason Number three – Social Context

And yes, the regular Stefan’s weekly readers would not be surprised to notice that I am once again an advocate of this view I feel urged to stress again and again. Social context influences our thinking, communicating, acting, and behaving big time, more than most people may realise.

Awareness

I think it is challenging to change the way we think, communicate, act and behave. However, if we are aware of why we think, communicate, act and behave the way we do, we perhaps can reach a point where we can somewhat more easily tolerate and respect other people’s thoughts and views, but also take a step towards becoming less stubborn on views and issues that make our lives miserable.

Ladies and Gentlemen

As always, please share your opinion with me, but please do not forget (instead of hitting the reply button) to send your messages to:
smk@incrementum.li

Many thanks, indeed!

I wish you an excellent start to the day, a wonderful weekend, and above all, good health!

Yours truly,

Stefan M. Kremeth

Wealth Management
Incrementum AG – we love managing assets

Tel.: +423 237 26 60
Cell: +41 79 303 48 39
Im alten Riet 102
9494 Schaan/Liechtenstein
Mail: smk@incrementum.li