Black Swan Proof World
Ten principles for a Black Swan-proof world (By Nassim Taleb)
What is fragile should break early while it is still small. Nothing should ever become too big to fail.
No socialisation of losses and privatisation of gains. Whatever may need to be bailed out should be nationalised; whatever does not need a bail-out should be free, small and risk-bearing.
People who were driving a school bus blindfolded (and crashed it) should never be given a new bus.
Do not let someone making an “incentive” bonus manage a nuclear plant – or your financial risks.
Counter-balance complexity with simplicity.
Do not give children sticks of dynamite, even if they come with a warning .
Only Ponzi schemes should depend on confidence. Governments should never need to “restore confidence”.
Do not give an addict more drugs if he has withdrawal pains.
Citizens should not depend on financial assets or fallible “expert” advice for their retirement.
Make an omelette with the broken eggs.
Posted in Finance
I'm Gurinder nesting in UK working as a Software Engineer in Telecom. I started this blog to note down my activities; mainly regarding financial engineering and news. It's not to advise someone, just mear to record for myself; although comments are more than welcome. More interested in my life its