In this interview with Richer, Wiser, Happier, Bruce Berkowitz explains how rampant market fervor, driven by envy and selective information, can be detrimental to rational investment decisions and mental well-being. He discusses how he found himself overwhelmed by the pressure and negativity associated with hype. He resorted to avoiding social situations to escape the constant reminders of perceived missed opportunities. Here’s an excerpt from the interview:
Berkowitz: Oh, it’s greed and envy. It’s as simple as that.
You just see everyone around you making money on Tesla. You go out, you listen to people who you’re sharing a dinner with telling you how much money you’ve made. And you… on tv you hear about all of these positive outcomes.
You never hear about the losers and the people that wiped out their college savings or whatever. You just… you hear the good stories and no one tells you really about their losses.
They want to tell you about how good they are and their wins, and it gets to be too much for you. It’s just it’s too… it’s head it.
Why am I not part of this?
I remember it happened to me and I was living in New Jersey. I told my wife at the time we can’t go out for dinner anymore.
If I listened to another person tell me about how much money they’re making, day trading. In the stock market. I just can’t, I can’t take it.
We can’t go out anymore until there’s a crash and people become sensible again.
You can watch the entire discussion here:
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