Dajia Picks

If you have no savings, that’s being poor. If you live paycheck to paycheck, that’s being poor. If you’re spending money you don’t have yet, that’s being poor.

Why are poor people so afraid of illness? Because their finances are already stretched thin. Even when they’re healthy, they’re scraping by—and if they get sick, their health may hold, but their financial situation collapses first.

It’s hard to count on the poor to spend, or to make money off them.

Cash savings will always lag behind assets, due to the seigniorage effect.
Holding little or no cash, and continuously buying more assets, is the better choice.
Asset comparisons are made in terms of relative purchasing power, not nominal numbers.
Numbers only exist to quantify things more intuitively.
If you want to learn:
Think through comparing different assets, evaluating different buying approaches, moving toward position management, risk management, and even quantitative hedging.