(The) Boring Investor

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A few months back, I downloaded a mobile game called “DomiNations”. This game is comparable to the “Age of Empires”, in which you develop your civilisation and lead it through different age range. Besides developing buildings, you might lead an military to strike and loot other players. Likewise, you could be attacked by others also.

To master the overall game, I tried to search online for the official game manual which could describe the strengths and weaknesses of different buildings and army products, as well as how to put the buildings for the best defence. Unfortunately, I could not find a good game manual, significantly less an official one. It really is like the currency markets, isn’t it, which does not include an recognized game manual.

It does not teach you what shares to buy, when to buy and when to sell. Although this void is filled up by many investment books compiled by others, there are still gaps. For example, there is in fact no book that discusses “troubleshooting”, which advises you what you should do when the stock market “malfunctions”, i.e. accidents. Consider the recent currency markets downturn in Aug, which book could you rely upon to help you how to get around the downturn?

In situations where there are no public game manuals, there are only 2 ways that players can understand how to be a better player. When there is absolutely no established game manual, the simplest way players can learn the game is to test and find out what works and what will not. In the DomiNations game, I thought my original placement of defensive structures was good.

  • In general, my top 10 holdings account for three-quarters of my stock stock portfolio
  • Why would a company choose to issue debt rather than equity
  • The Ponzi Scheme
  • Dryobalanops aromatica, Dryobalanops beccarii, Kapur
  • Profit or loss
  • 16 18.38% 16.02% 2.36%
  • Reduction in redundant data entry – Centralized Customer Database
  • The tenants on the rent must be the identical to the borrowers on the home loan application

It worked the first time I was attacked, effectively repelling the attacker with reduced lack of gold and food resources. However, when a more advanced attacker came the second time, my city’s defences were completely and utterly overrun! It open, firstly, fundamental flaws in my defensive placements, and secondly, but more importantly, over-confidence in my own original defensive strategy.

The moral of the storyplot is this: when you win, you practically learn nothing, however when you lose, you learn a very important lesson in what can not work. In fact, the greater the loss, the deeper you shall learn rather than replicate it. The more mistakes you make, the greater knowledge you gain on what can not work. Over time, as you get more knowledge on what does not work, you will eventually become a much better player. Winning generally does not teach you anything.

Most people, when they earn, they shall bathe in the euphoria of winning. Will anyone analyse the reason why for the victory Seldom, and if he does even, he could attribute it to the wrong reasons, that may only serve to increase the hubris of the player and eventually lead to a larger downfall!

To win, you need a combination of factors in your favour, but to reduce, you need one single main factor against you just. Thus, when you win so you managed to find grounds for your victory, it could be only one out of many factors contributing to your win. However when you lose, the key factor resulting in your loss is clearly visible usually. As this might not be the only factor contributing to your loss, the more losses you have, the more factors you will be able to identify that affect the results of your battles.

The more factors it is possible to have in your favour, the more likely it is possible to replicate success in your next battle. So, be sure you study from your mistakes! In the DomiNations game, an alliance could be joined by you with other players, speak to them and see their protective placements.