My First Million
The best business ideas come from noticing what's working and doing it better, faster, or for a different audience.
“Smart does not equal wise and the goal is wise not smart”
What It Means
Good judgment and prioritization are more valuable than raw intelligence or analytical ability
Why It Matters
Helps focus on developing better decision-making skills rather than just accumulating more information
When It's True
When facing complex life decisions where multiple smart people disagree or when competing priorities require clear judgment
When It's Risky
Could be used to justify anti-intellectual positions or dismiss important expertise and analysis
How to Apply
Focus on developing decision-making frameworks over accumulating more information
Prioritize learning from people with good judgment track records
Ask 'what would a wise person do?' rather than 'what would a smart person do?'
Example Scenario
“Instead of analyzing 50 different investment options, wise investor chooses simple index fund strategy and focuses time on building their business where they have better judgment.”
Related Knowledge
Investment Thesis Litigation Framework
A systematic approach to evaluating competing investment or business theories by collecting multiple expert perspectives and weighing evidence like a legal case.
Wealth Preservation Framework
A conservative investment approach focused on maintaining purchasing power and reducing stress rather than maximizing returns, typically used after achieving a significant financial milestone.
Second Derivative Spending Rule
A cash management principle where you never spend business income directly, but only spend the investment returns generated from that business income.
Systematically evaluate and optimize personal investment allocation through peer feedback
Clear understanding of current allocation, identification of blind spots, actionable feedback from trusted peers, and refined investment strategy aligned with goals.
Convert entrepreneurial success into sustainable long-term wealth
Financial independence where investment returns can fund lifestyle indefinitely without touching principal, plus continued income from new ventures.
Personal Capability as Safety Net
Viewing your own skills, knowledge, and earning ability as the primary financial safety net rather than relying solely on savings or investments.