Dear Financial Voice Reader,
I write to you on 9/11. When the World Trade Centres were destroyed. World Trade. Think of it for a moment.
So let me write in praise of America. Let me quote you from Warren Buffet’s recent annual letter to shareholders. ‘Money will always flow toward opportunity, and there is an abundance of that in America. Commentators today often talk of “great uncertainty.” But think back, for example, to December 6, 1941, October 18, 1987 and September 10, 2001. No matter how serene today may be, tomorrow is always uncertain.’
This is the year the American markets will outperform the emerging ones. You know why? I’ve said it before and I’ll say it again, so to repeat – do not bet against America. I’ve worked and studied there. I have studied their history and met their people. Do not bet against America.
Or as the Buffet puts it, ‘Throughout my lifetime, politicians and pundits have constantly moaned about terrifying problems facing America. Yet our citizens now live an astonishing six times better than when I was born. The prophets of doom have overlooked the all-important factor that is certain: Human potential is far from exhausted, and the American system for unleashing that potential – a system that has worked wonders for over two centuries despite frequent interruptions for recessions and even a Civil War – remains alive and effective.
We are not natively smarter than we were when our country was founded nor do we work harder. But look around you and see a world beyond the dreams of any colonial citizen. Now, as in 1776, 1861, 1932 and 1941, America’s best days lie ahead.’
Incidentally you know what makes him one of the world’s richest, and also the world’s largest philanthropist at the same time. He knows what motivates people in business. Do you know what it is? Bet you don’t. In a new book called ‘Drive’ by an academic researcher, studies show that what motivates is not money. Sure, in the short term for monotonous tasks it does. But for quality creative work money is not the driver. Experiments were done on humans, children and apes. Each given tasks they enjoyed without reward. As soon as reward was offered, their performance dropped.
Find people who in the words BUffet, ‘Many of our CEOs are independently wealthy and work only because they love what they do. They are volunteers, not mercenaries. Because no one can offer them a job they would enjoy more, they can’t be lured away.’
And that is why the world’s richest man, an American, is gonna stay that way. You can’t get at his people!
Alpesh B Patel
For a free online trading course visit www.alpeshpatel.com
