Tag: Compassion

Are You Ignorant of Others’ Ignorance?

Imagine someone whose beliefs oppose your own: who they will vote for in the next election, whether Brexit should have happened, whether we should have a universal basic income, whether prostitution and drugs should be legal, whether pineapple belongs on pizza etc.

We think: “Wow! What a bigoted, unpleasant, intolerant person! How could they even possibly think that they’re right!?”

But when we respond like this, we are likely to become bigoted, unpleasant, and intolerant of their bigotness, unpleasantness, and intolerance. And in turn, when we voice our strong opinions across, they could become intolerant of our intolerance to their intolerance. And the cycle gets vicious and continues on. And then we start hating each other.

So how do we break the cycle?

As difficult as it may sound, it’s to lead with compassion and seek understanding. In The Seven Habits of Highly Effective People, Stephen Covey’s fifth habit is ‘Seek to Understand, Then to Be Understood’. We see the world not as it is, but as we are – meaning that everyone sees a different picture of reality. A combination of the way that people were brought up and their environment creates a worldview that leads to different beliefs and opinions.

If we lead with curiosity instead of competition – if we begin to understand how their beliefs and opinions formed – it could make a little more sense why they would think that way, and also show the arbitrariness of their beliefs – there’s every chance that if we had the same environment as them, that we would believe most of the things they did too.

As tough as it is to accept, it’s much more conducive – as a default – to see that there’s a deeper reason that people think a certain way, instead of just labelling them as stupid, uneducated or ignorant. It would be a shame for us to be so ignorant of their ignorance.

Practice Going First

I always say that I’ll go first… That means if I am checking out at the store, I’ll say hello first. If I am coming across somebody and make eye contact, I’ll smile first. Be first, because – not all times, but most times – it comes in your favor.

Gabrielle Reece

Sometimes we need to have the courage to go first. Think of all the friends and relationships you have made in your life. Did you go first? If not, you’ll be grateful that the other person decided to take the courage to put themselves out there for you.

Now think of all the possible ways in which you could go first going forward. If you work in sales, it could be actively prospecting instead of waiting by the phone for prospects to call you. Be the first to ask someone how their day is. Be the first to smile at someone when you walk past them. Your courage can turn into encouragement for others to pay that smile forward to the next stranger they walk past. Compassion has the potential to spread in this way, and it can all start from you going first.

The Dalai Lama’s Eight Pillars of Joy

At the end of the day, human beings just want to be happy. So how do we do it? The Dalai Lama tells us how in The Book of Joy.

Perspective: Take a step back and view your situation from a variety of angles. Reframe it positively. Understand that things that may seem difficult now will seem unimportant in a few years’ time. Shift from focusing on I and me and mine to we and us and ours. Move away from self-centeredness into viewing the world as interdependent.

Humility: Lose the labels and simply regard yourself as a fellow human being – one of seven billion. When we view each other as the same, we understand how much we have in common. Just like in nature, growth begins in the low places, and being humble means you are willing to learn. Thinking that you’re special leads to isolation and loneliness. Instead, think of yourself as essential. Humility isn’t the same as timidity – still take responsibility to use your gifts to help others and share with the world.

Humor: Laugh at yourself and don’t take yourself too seriously. It punctures your own sense of self-importance. Humor is an effective way of dealing with the anxiety and stress of uncertainty in life.

Acceptance: Let go of the expectations of how life should be and just accept what is. Let go of the attachment to a goal or method, because in the end we don’t control the result. Instead focus on doing your best.

Forgiveness: Forgiveness doesn’t mean that we accept or approve of wrongdoing, it’s choosing not to develop anger or hatred and remembering the humanity of the person doing wrong. Forgiveness is the only way to heal ourselves and be free from the past – until then, someone else will hold the keys to our happiness, and that person will be our jailor.

Gratitude: It’s easy to forget how much we can be grateful for, starting with the opportunity of simply being alive right now. Feeling gratitude simply makes us happy. It makes us accept reality and give thanks for everything that has led us to this point.

Compassion: This is probably the core of the Dalai Lama’s teachings. The more time you end up thinking of yourself, the more you suffer. Think of how you can bring joy to others, and as a by-product joy will appear for you. Compassion makes our heart healthy and happy. Wish for the happiness and joy in all sentient beings.

Generosity: They say money doesn’t bring happiness. But spending money on other people does. Being generous makes us happy. In giving, we receive happiness. Sit loosely with your wealth and status – we are simply stewards of these positions and possessions and be generous. But don’t view generosity as a burden, give with joy. That too, is a great gift.

Ubuntu: Why There is No Such Thing As Self-Made

Ubuntu is an African philosophy made famous by leaders such as Nelson Mandela and Archbishop Desmond Tutu. The word literally means humanity, and is often translated into “I am because we are”, or “humanity towards others”. There’s also a popular maxim in Ubuntu: “A person is a person through other people”.

The philosophy teaches the interconnectedness of humanity, and that it is for your benefit to help others. It’s a philosophy that fosters community, compassion and kindness.

In the Western world, we are keen to describe ourselves as self-made, or use the term to describe someone positively. But in reality there is no such thing. In the modern world, we can easily lose a sense of the fact that we are being helped all the time. If we go to the store, we are using money that somebody gave us, to buy food someone grew, made and packaged, using a car that somebody manufactured and taught us to drive, on roads somebody else built, stopping at traffic lights that somebody invented.

The growth of the population and the globalization of the culture makes it much more difficult to remember these things that we can be grateful for, based on other people’s actions. As Warren Buffett said, “Someone is sitting in the shade today because someone planted a tree a long time ago.”

Ubuntu simply describes that we can’t speak without learning it from others, walk without learning it from others, or even think without learning to think from another human being. We learn how to be a human being through other human beings. Archbishop Desmond Tutu said in The Book of Joy: “After all, none of us came into the world on our own. We needed two people to bring us into the world.”

And that’s why there’s no such thing as self-made. I am because we are. Ubuntu.

The Psychology of Money: Morgan Housel’s Finance Tips

Morgan Housel recently wrote The Psychology of Money: Timeless Lessons on Wealth, Greed, and Happiness. No matter how we think about it, managing our own money and trying to build wealth is a game of emotions. Here’s a summary of the main points:

Go out of your way to find humility when things are going right, and forgiveness/compassion when they go wrong. The journey of building wealth is based on risk and luck. Remind yourself that the journey of investing is filled with ups and downs and to be ready for that emotionally.

Less ego, more wealth. Building wealth is simply spending less than you earn. Richness is buying cars, houses and boats. Wealth is what you don’t see – it’s money saved/invested instead of spent. The hardest financial skill is to get the goalposts to stop moving – life isn’t any fun without any sense of “enough”.

Manage your money in a way that helps you sleep at night. If you’re finding that you can’t sleep at night because you’re risking too much investing, you need to rethink your strategy. You may know it’s the “right” strategy, but if you can’t manage it emotionally, you may need to accept a lower risk and lower return by holding a higher percentage of your net worth in cash, or choosing lower risk strategies.

If you want to do better as an investor, the single most powerful thing you can do is increase your time horizon. Time is the most powerful force for growing your wealth. Be patient, and be in it for the long game like Ronald Read and Warren Buffett. In other words, just shut up and wait!

Become okay with a lot of things going wrong. You can be wrong half the time and still make a fortune. Having money in the market means you have to accept that on some days you may lose money, even as much as 30% or more of what you have invested. But if you can use the barbell strategy and invest in some assets with huge upside potential, you can still afford to be wrong most of the time while building wealth.

Use money to gain control over your time. Money means freedom. Being able to do what you want, when you want, with who you want is one thing that having money can bring.

Be nicer and less flashy. You may think people will like and respect you more based on your possessions, but in reality being more compassionate and kind works better. Make sure that when you’re buying possessions it’s for the right reasons – spending money to show people how much money you have is the fastest way to have less money.

Save. Just save. You don’t need a specific reason to save. Saving for something like a car or a down-payment for a house is good, but save as a default strategy too. Who knows what expenses can crop up as a surprise, wouldn’t it make more sense to be financially ready when they crop up?

Define the cost of success and be ready to pay it. The cost of success in investing is the uncertainty, the doubt, and the fear of losing some of your money. But if you want to play the game you need to see those things as a fee for participating. If you’re not willing to pay it, you may be better off just holding everything in cash and settling for a 0% return.

Worship room for error. You never want to be in a position where you could lose all your money, or losses in the market affecting the lifestyle that you live. If you lose a little you can still recover. If you lose it all, you have no money left, and you’ve been ejected from the game with no bankroll to buy back in. Avoid ruin at all costs.

Avoid the extreme ends of financial decisions. The more extreme your financial decisions, the more likely you may regret them if your goals and desires change at a later date. Good investing is less about making good decisions than it is about consistently not screwing up. You can afford not to be the best investor in the world, but you can’t afford to be a bad one.

You should like risk because it pays off over time. But you should be afraid of too much risk that would ruin your chances of winning the overall game.

Define the game you’re playing. Remember that everyone has their own unique financial goals based on the lifestyle and life goals they have. You don’t even necessarily have to compare yourself to overall market returns either. Just choose a strategy that you’d be happy with, without looking at other people and what they’re doing.

Respect the mess. There’s no single right answer in building wealth. Just find out what works for you.

Want to read more on investing? Read about Benjamin Graham’s value investing philosophy.