Last week Ray Dalio tweeted that he was mentoring Sean ‘Diddy’ Combs, and included a twenty-five minute video of the session. While the entire video is great, there’s one section that is particularly relevant to helping us become better investors. Here’s an excerpt from the video:
Diddy: I wanted to ask you a couple of questions straight from the things I highlighted in the book. First thing was – what’s your definition of radically open-minded?
Dalio: Is to simultaneously have an opinion. Let me give you this. You think it should go this way, and then you say to yourself how do I know I’m right? Maybe that’s wrong. Is that as good as I can be, and then the capacity to hear and then challenge. So somebody comes up to you with an idea and says okay let’s do this, what do you think about that?
To harvest the best around you, but sorting it with your own mind. So I say to be open-minded and assertive at the same time. Don’t give up your assertiveness. But to be curious like am I harvesting the best. Because the biggest thing that most people have, their problem, is they get so opinionated that they can’t take in. The worst problem is, the worst tragedy of mankind, almost any individual is that they’re attached to opinions that are wrong and they don’t want to have them stress tested.
So when your radically open-minded you can say hey man I really think it should go this way and then at the same time say to the smartest people that you know – kick the shit out of it! Trying to say okay now let’s see how the stress tests, so that I can then go to the best, or how I harvest. This is gonna be very important for you to get your leverage okay.
Because you want to go to this new high level right, and you want to do a lot of things, and in order to do the lot of things you’re gonna have to get the most leverage off other people. But you also want it to be great, just like you want it to be, because you’ve got a unique ability with your taste and everything to be able to make those choices.
So you know what’s great and what’s not great. So in order to go from that you have to pick the people who can do that. Who can deliver with you what you could do. To find people who are as good or better than you and then to get that leverage. The key is to try to find out what you’re not good at. Okay. Write those things down that you’re not good at and then you get the people who are good at those things. And then you get the great leverage right.
So you know. think what are you not good at, and get that great leverage, and then get the sympatico even on the things you’re good at.
You can watch the entire video here:
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