I heard this the other day and, unfortunately, I can’t give the credit where it is due – it stuck with me and I’ve been thinking a bit more about it in the past few weeks:
So, essentially, this is what risk really looks like… it’s looking back on your life when you’re 90 years old and saying:
Fuck, I wasted a lot of my time.
You see, most people grossly over-index on allowing long-term risk(s) dictate their decision making while they completely ignore short-term risk(s).
For instance, they’ll make decisions because of their irrational fear of nuclear holocaust or a zombie apocalypse or the threat of World War III and go to great lengths to stock up on food, water, supplies, ammunition and even some will build entire underground (or above ground) compounds for these “risks”!
On the flip-side, they will completely sideline much smaller and immediate decisions, like saving a small portion of your income each paycheck for a “rainy day” expenses, like for a flat tire a broken faucet sink. Obviously, the possibility of those things happening is much more likely than the next World War.
Heck, you may know a few folks in your own life that do this.
What ends up happening is that you literally waste a ton of your time (and money in some cases!) on things that will never happen in your lifetime while missing out on a ton of other things that could have used those resource-intensive investments.
That’s what happens when you observe, understand, and react to risk and risk management poorly: You end up wasting time.
And that’s really sad.