I was reading a newspaper headline recently which called just a 1% decline in the stock market as a ‘bloodbath’ and how investors had to suffer through the pain of losing a small part of their wealth quickly. It got me thinking about how our perception of pain and loss, especially in investing, has changed over the years. And it reminded me of my own journey with understanding and embracing discomfort.

I talk about all that, and more, in this episode of #TheInnerGame #podcast.

In the grand tapestry of human existence, one of our driving forces for a long period of time has been the pursuit of wealth. In fact, society often measures one’s success and worth by the size of their bank account, the lavishness of their possessions, or the opulence of their lifestyle.

However, after having followed and learned from the likes of Warren Buffett, Charlie Munger, and the old wise people, I have come to believe that the notion that being remembered solely for one’s wealth is a meaningful legacy is a hollow one. I have also come to believe that true fulfillment and lasting impact in life require a more profound and enduring purpose than the accumulation of riches.

Let's talk about all that, and more, in this episode of The Inner Game podcast.

Why do we, as humans, have this innate tendency to dislike and hate? Why are we programmed to hit the ‘dislike’ button from birth? Is it just for YouTube comments, or is there more to it?

Let's discuss this in today's episode of The Munger Method, which is a series on Charlie Munger's talk 'The Psychology of Human Misjudgment', and a part of The Inner Game podcast.

While we were talking about the idea of money and investing recently, a friend shared something really interesting. To get to the bottom of how I feel about money, he suggested me to write a letter to money — the same way I would write a letter to a person. While I found this idea a bit odd when I first heard it from my friend, as I thought more about it, I realized it was not such a bad idea after all. I share that letter in today's episode of The Inner Game podcast.

“The Map is Not the Territory' is a concept that originated from the work of Alfred Korzybski, who was Polish-American mathematician and philosopher. He used this idea to convey the fact that people often confuse models of reality with reality itself.

According to Korzybski, models are tools that are created to represent real-world things or phenomena. However, they are not identical to those things. In other words, models are abstractions of reality and do not capture all the intricacies and nuances of the actual world.

I cover all this, from the angle or life and investing, in today's episode of #TheInnerGame podcast.

There’s a saying in Hindi – "Pyaar andha hota hai," or that "Love is blind." Well, it’s a phrase that has transcended generations and cultures, reminding us that when we’re infatuated, our judgment can be clouded by the warm and fuzzy feelings of affection. But here’s the twist – not only is love or likeness of someone usually blind, it also has a sneaky cousin in the world of psychology. Let's find out in today's episode.

Our world is way more unpredictable than we tend to think. As humans, we love finding patterns and making sense of things. It’s in our nature. But as we have evolved, and as our society has advanced, the world has grown increasingly uncertain and unpredictable. At least more unpredictable than our brains like to admit.

Given this, let's dive into Nassim Taleb’s enlightening book, “Fooled by Randomness” and into the world of randomness, hindsight bias, and how these concepts significantly impact our lives.

I discuss the first cause of human misjudgment that Charlie Munger spoke about in his landmark speech "The Psychology of Human Misjudgment."

He called it the "Reward and Punishment Superresponse Tendency," which generally highlights the idea that humans tend to respond strongly to both rewards and punishments. It suggests that when people are offered rewards or faced with punishments, their behavior may be significantly influenced or exaggerated in response.

A more specific concept that is a result of this tendency is the "Incentives Caused Bias," which suggests that when we are motivated by incentives (such as financial rewards, recognition, or other benefits), we may unconsciously or consciously act in ways that align with our incentives, even if it goes against our better judgment or ethical principles.