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There was a time in my early twenties when I felt like I had hit a ceiling in my income. No matter how hard I worked and what skills I acquired, it felt like I was plateauing and would not transition to the next level. At this point, it would have been easy to get complacent – but my life was changed by a book that I had begun reading a few years back.
The book was “Awaken the giant within” by Tony Robbins. I have mentioned in the past that a handful of books were very influential in my mindset toward money and business, and this one showed me the danger of limiting beliefs. The income ceiling that I hit was because I had told myself, “Well, this is the most a 20-year old can make. I guess these things take time.” But the book motivated me to set a higher standard for myself and question the things we take for granted.
Over the last year, I took a step back to examine the beliefs I currently held, and found that many of them were due for re-evaluation: Even my (gulp) trademark frugality! I selected the 7 things I wish I had done differently in my twenties so that you can learn from my experience and mistakes.
Another thing about beliefs is that they should be updated to reflect reality. Things that you might have held as gospel truth might now be different due to a changing context. I found that to be happening with two things – The “stable” real estate market of the last decade is transforming, and the new AI ChatGPT is revolutionizing fields like writing and creativity that were seen as humanity’s last frontier!
So let’s dive into all of these, and see what it means for you and your money…
Things I wish I knew at 20
It’s only in hindsight that I feel I could have done a lot of things differently – that’s great, otherwise I wouldn’t be growing! Some of these insights are mental models I use that I wish I had doubled down on. I’m a big believer in being proactive and taking initiative, though this is a belief that has grown stronger over the last decade. There are other beliefs that I have changed – I’ve built a brand on being frugal and saving money at all costs, for example. I’m able to see this in a more nuanced manner now, and recognize the trade-off between being frugal and creating lasting memories.
These mental models have helped me out a lot, and I’m sure you’ll find a lot of value in them too!
The worst housing drop on record
It’s happened – Housing sales have registered the worst drop on record, in Nov 2022. The housing market is so noisy right now that it’s very difficult to make sense of the information that’s coming in. On one hand, housing prices are dropping due to pressure from increasing interest rates and more inventory. On the other hand, buyers are holding off on purchases with applications dropping 36%. Rental prices that are supposed to be a neutral data point are even more confusing – while rents are falling in New York and other parts, other areas are seeing a rise!
Don’t worry: In this video, I’m putting all of this information into the right context to make sense of the market in 2023, look at predictions for the coming year, and talk about how you can make money from this!
ChatGPT will make you rich
Creativity was supposed to be the last frontier for computers. But after having a conversation with ChatGPT, I’m not so sure how long that frontier will remain unbroken. ChatGPT is the new AI on the block, and I gave it a try. It didn’t just answer basic questions and find facts, but also wrote a video script for me inserting Graham-style humor at the right points!
Going beyond the initial fascination, I dive into how the new wave of AI is going to change our lives – what tools do they provide, how can you use them, and how can they make you rich? On the flip side, I also look at the dangers and risks of AI tools, so be sure to watch this one to stay one step ahead.
That’s it for my Sunday round-up. For the new folks here, in this newsletter, I give a quick recap of whatever you may have missed over the week on Sunday, and on Wednesday, I will be doing my deep-dive article on one of these topics.
See you next week with another bunch of exciting videos!
This is being fact-checked right now, but studies show that if you smash that like button, markets will end in green this week :)
Excellent article. Thank you!
Mental models should be taught to everyone starting in grade school! Our top book recommendation for building a mental model toolset is Poor Charlie’s Almanac: The Wit and Wisdom of Charlie Munger.