The biggest enemy of foreign exchange investment is profiteering - starting with the "51% principle" in the Go world

Go expert Lee Chang-ho has a very dominant principle of 51% efficiency, and in fact, the principle of investment is no better than this.

The essence of this principle is to close when you see something good. If most investors can understand the essence of it, they will not have to wait until the end when the market is clearly accelerating, thinking that we will always catch the inflection point. In fact, we are just ordinary people. Only by overcoming the desire for short-term profits can we achieve long-term gains.

Magic hand is the term of Go, referring to the most subtle moves, which can solve the dilemma, reverse the defeat, and win in one fell swoop. It can be called the ultimate wisdom.

The South Korean chess player Lee Chang-ho won the world championship at the age of 16 and ushered in an era, but he rarely made good moves, which has become a mystery. When a reporter asked him this question, the introverted he murmured for a long time and held back: "I never pursue good moves. I only want 51% efficiency in each move." The higher the efficiency of the chess pieces, the more advantageous it is. Effective chess has been the goal pursued by chess players since ancient times.

Lee added: "I never want to crush my opponent in one fell swoop." The reporter pressed again, but he did not speak.

His old opponent, Ma Xiaochun Jiuduan, a representative of Chinese Go, once said that if the efficiency of one hand is 10 points, then Lee Changhe's chess can only play 6 to 7 points per hand at most. This confirms that Lee Changhe's statement is true.

Each hand seeks 51% efficiency, that is, only 1% more than the opponent in each round. The effect of each hand is negligible, but in a game, more than half of the chess pieces get the desired effect, and the only result is to win. Lee Changho's chess confirmed this. His biggest headache for his opponents is "winning by half an eye", about two or three hundred moves in a game, winning by half an eye. This is the most subtle difference. To grasp this heat is more difficult than winning in the middle game.

The pursuit of 51% efficiency is to attack with 51% strength. Isn't it stronger to attack with 100% strength? Otherwise. When people have the strongest desire to win, it is the time when they are the least calm; when they attack others the strongest, it is the time when the defense is the weakest. Therefore, Lee Chang-ho attacks with 51% strength and defends with the other 49% strength. This is what he didn't say. This makes his chess extremely stable, calm, and rarely makes mistakes, often making opponents feel that there is no gap to play.

From another point of view, it is a trap. Who can keep their thinking at 100% efficiency all the time? Because the pursuit of a good hand requires all your energy, and your thinking is like an overdraft. After a good hand, there will be a game of chess that does not fake deep thinking. If your opponent is not defeated, your flaws will be exposed. After all your strength, you must slack off; after extreme light, there will be great darkness; if you take the biggest step forward, it is easiest to step on the air. This is not something every chess player can see, Li Changhao saw it.

In his eyes, a top-notch hand is an ordinary person after seeing through the temptation of a hand.

Think of life. Life is like chess, and it is also the pursuit of success, but the temptation of success can also lead people astray. People must have the mental strength to refuse the temptation of fame and fortune, in order to face fame and fortune, otherwise they will step into the wrong path. People with this mental strength are not discouraged under the mountain, do not lose their temper in the landslide, do not complain in the mud, do not get lost in the flowers, and can calmly and calmly deal with victory and defeat. Only by being able to control yourself can you control the environment.

I particularly like the old man Jim Collins.

In the world of management, he is a world-renowned master, and some people call him the most important person since Peter Drucker.

He is not a prolific writer. His main impression is "Built to Last", "Good to Great" and "Reinventing Excellence". It can be said that the theme of his research in recent decades has revolved around the word "excellence". How on earth do great companies grow? He is the one who strives to erase the mosaic for the audience when everyone is confused and specious.

I love his approach - empirical research based on massive amounts of data and his ability to generalise are often eye-catching. So when I heard about his new nine-year-old book, Choosing Excellence, I immediately applauded it. The results did not fail.

The theme of this book - how "10x companies" are formed. Using 2002 as a basis point, Collins went back 30 years and finally selected seven companies from a sample of 20,400. The market value of these seven companies has increased at least 10 times that of the same industry for 15 consecutive years, and even more than 100 times.

Before I finished the book, I couldn't wait to recommend it to some friends in the investment community. First, "10x stocks" are the favorite of investors, and this book provides a lot of good advice on how to find such companies. Second, more importantly, many of the "10x speed" company genes mentioned in the article are precisely what you need to be a successful investor.

What impressed me the most was this - a 20-mile trip on a day. Collins told us two stories, one about exploration and the other about business. In October 1911, the South Pole was virgin territory that had never been reached by humans. At this time, two explorers around the world were ready at the same time, one was 39 years old Amundsen and the other was 43 years old Scott. As a result, on December 15 of that year, Amundsen successfully planted the Norwegian flag on the South Pole. All five members of Scott's expedition were killed during the expedition. Collins asked the question - would you rather be Amundsen or Scott?

There are of course many differences between the two.

One of the things that is worth emphasizing is that throughout the expedition, Amundsen adhered to the principle of continuous progress. He never went too far in good weather to avoid exhaustion, and he also kept going in bad weather to keep pace. He kept the expedition's daily trip between 15 and 20 miles. In contrast, on good days, Scott let the team go all out, and on bad days, he hid in his tent and complained about injustice.

The other story is business. Company A's net income grew at an average annual rate of 25% over 19 years, and Company B's grew at an average annual rate of 45% over 19 years. If you only look at this data, I'm sure any fool would choose the latter. But look at another data. Over 19 years, the standard deviation of company A's revenue growth was 15%, and company B's was 116%. This means that company A's growth is stable and manageable, while company B's growth is ups and downs.

So, what happened? Starting in 1979, by 1998, the market value of Company A had grown many times faster than that of Company B. This is a real case. Company A is called Stryker, and Company B is called American Surgical Medical Company.

Why is "walking 20 miles a day" so important? Collins summed it up by saying: 1. In the face of adversity, it allows you to maintain confidence in your abilities. 2. In the face of destructive blows, it allows you to reduce the likelihood of disaster. 3. In an out-of-control environment, it allows you to maintain self-control.

Profiteering is a sweet poison. Controlling your behavior is actually controlling your expectations.