Cash Is King: Morgan Housel's Surprising Financial Strategy

Noah Kagan Presents

Noah Kagan

Entrepreneurship, Business

4.7 • 1K Ratings

🗓️ 26 October 2023

⏱️ 29 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

Today we’re talking with journalist and author Morgan Housel, his book The Psychology of Money is one of my all-time favorites. His message is straightforward, preparation beats trying to predict the market every time.

Morgan Housel, is an award winning writer and partner at The Collaborative Fund and a former Wall Street Journal columnist. His wealth of experience and insights into the world of finance and economics make for a fascinating discussion.

📚 Become part of the pre-launch team for my new book! Email [email protected] to join

It was great to hear how much we're on the same wavelength when it comes to our views on risk aversion in personal finance. Morgan firmly believes in a patient and sustainable approach, steering clear of the allure of quick riches. While it might seem less flashy on paper, it’s important to understand that long-term stability and financial resilience should be our ultimate goal.

In this conversation, you’ll enjoy 3 BIG things:

Predictions vs. Preparation: We explore how news stories can impact the economy and why economic forecasts often fall short. Morgan makes a compelling case for focusing on preparation rather than following predictions.
Financial Resilience: Morgan provides valuable insights on maintaining financial resilience, including minimal debt, a significant cash reserve, and a portfolio of long-term assets built to endure surprises.
Innovation in Challenging Times: Explore the correlation between innovation and challenging times, particularly during economic depressions. Morgan elaborates on the rapid progress of solutions in such circumstances.

This episode was recorded last year, since then Morgan has a new book coming out November 7th - ‘Same as Ever’ he’ll also be coming back on the show in the next few weeks to talk about it, but in the meantime go back and check out a YouTube video we made about ‘The Psychology of Money’. Also check the episode we did with Financial Samurai Sam Dogen.

You can go check Morgan out at @morganhousel on Twitter & morganhousel on Instagram.

🌮 Wanna save money on software? Of course you do!! Find what you need on AppSumo

✉️ Sign up to my newsletter (I reply to emails)

👉 Need help getting started with your own business? Sign up at OkDork.com/Monthly1K

Transcript

Click on a timestamp to play from that location

0:00.0	The question I want to answer is not how can I earn the highest returns.
0:03.0	It's what are the best returns that I can sustain and maintain and stick around for the longest period of time.
0:09.0	I just want to be durable across all the surprises and all the setbacks and upheavals.
0:13.7	So that's why I have a lot of room for error in my finances,
0:16.4	even though it looks dumb 99% of the time.
0:18.9	If it can keep you in the game during the 1% of the time
0:21.4	when everything shit hits the fan, it's going to pay off for itself like 10X over the course of your life.
0:27.0	What is up you sexy bankers? It is your boy cash cow, aka rabbi can't lose, aka
0:34.5	Noah Kagan. Today we are talking with award-winning journalists and author
0:38.0	Morgan Housle. In this conversation we talk about money and personal finance. Me and Morgan are both pretty risk averse and
0:45.4	Morgan which I think is kind of actually unique has a very patient and sustainable
0:50.3	approach around how he does his finances. He does not believe in get quick riches.
0:54.8	Ooh! It is not flashy on paper, but he is living a pretty wealthy life and seems extremely
1:01.1	content with how his finances are, there's also some really unique
1:03.3	approaches he does. Now a quick note, this episode was recorded last year at a time when the recession was looming.
1:09.2	So a few things that date this episode are actually surprising just how accurate they are and how you can use this
1:15.5	episode today and game plan for the future. In this conversation you're going to enjoy three gigantic things.
1:20.9	Number one, Morgan makes a really unique case about focusing on preparation rather than predictions.
1:26.0	We explore how news stories can impact the economy and why economic forecasts often fall short.
1:31.0	Two, financial resilience.
1:33.0	Morgan provides valuable insights on maintaining financial resilience, including minimal debt, cash reserves,
1:38.1	and a portfolio of long-term assets.
	...

Please login to see the full transcript.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from Noah Kagan, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of Noah Kagan and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.