How to avoid wrong cognition in life and investment?

Introduction

With the development of the economy, people are increasingly fond of outdoor camping life. Decades ago, I often went camping in groups. When it comes to the best things for outdoor camping, I would first recommend the military shovel. A good military shovel contains a fire starter, flashlight, compass, survival whistle, and other essential items for camping. The most critical point is that the military shovel is extremely useful. It can be used for digging, cutting vegetables, making fire, clearing paths, cutting wood for self-defense, and so on.

The military shovel is usually foldable and about the size of a palm when folded. When opened, it is more than one meter long. It is extremely sharp and can be used to cut trees, shave bricks, and the side edge has a serrated edge that can be used for sawing wood in the wild and opening bottle caps. In short, with a military shovel in hand, there is no need to worry about outdoor camping.

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Just now, I found that there are quite a few companies related to outdoor camping in the A-share market, and their market value is only a few billion now. Investing in them now should be a time with relatively low risk.

A friend asked, "What should I do when I'm in a bad mood?"

When I'm in a bad mood, I usually walk alone outside. Generally, after walking for about an hour, my mood will improve a lot. Sometimes our mood is bad mainly because we are physically and mentally exhausted, so our ability to resist setbacks at this time is relatively weak. After taking a nap, it will play a role in quickly recovering. After waking up, the mood will be much better.

Another thing is to talk to someone. If you can't find someone in real life, you can talk to netizens. Generally, after talking, the mood will improve a lot. The most important thing is to analyze the reasons for the matter, analyze it specifically, and think about everything from multiple angles. The main reason for our bad mood is that we only think about problems from one perspective. If we think about it from another perspective, we will find that things are not so bad, and our mood will be much better.

For example, if we have a quarrel with our wife, we are very angry inside. An important reason for our anger is that at this time, our brains are full of images of the other party being bad to us, and we don't think about the places where the other party cares for us in daily life. At this time, if we change our perspective and think more about her kindness to you, you will immediately calm down a lot.

According to my life experience, no matter what the reason for the bad mood, it is caused by our single perspective. Thinking about problems from multiple perspectives will make our mood much better. Most people in this world cannot see problems from multiple perspectives, which may be a weakness of human nature.

For example, a few days ago, a supermarket opened between my family and my brother's family. My wife and I both thought that this supermarket is very close to my home, only more than 1,000 steps on foot, and we thought that my brother's home is at least 2,000 steps away from this supermarket.To my surprise, my sister-in-law actually said that my brother's home is much closer to the newly opened supermarket than mine, claiming that my home is farther from the supermarket! Her point of view left me astonished. Can't she see such an obvious fact? It only takes me to cross a major road to get to the supermarket, while her home requires crossing two roads to reach it. Isn't that a clear fact?

Although I thought so in my heart, as a rational person, I still need to actually measure what is going on. I suspect that my home might be only a few hundred steps closer than my brother's home, not as close as I had anticipated. Otherwise, it would be unlikely for my sister-in-law to say that her home is much closer to the supermarket than mine.

So, I took my smartwatch and measured it on the spot. The result was unexpected! It takes at least 1700 steps to walk from my home to the supermarket, and only a little over 1600 steps from my brother's home to the supermarket. This indicates that my brother's home is at least 50 steps closer to the supermarket than mine!

This incident made me think about how many wrong judgments we make in our lives? If I didn't measure on the spot, I would always maintain such a wrong perception. Fortunately, such a wrong perception does not affect our lives, nor does it affect our wealth. However, having a wrong perception in the stock market is dangerous. It can cause our assets to suffer severe losses and significantly affect our quality of life.

Many people choose stocks purely based on their feelings, just like I felt that my home was closer to the supermarket. They neither read the annual reports of listed companies nor conduct on-site research. As a result, it is very easy to make wrong investment judgments, and it is inevitable to lose money in the end. We can be careless in life, but in the stock market, we really can't be careless about the fundamentals of a company.

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