I'll now use Charlie Munger as a scapegoat on where my net-worth currently lies.
Warning: it's the smartest or dumbest decision based on your views (Munger wouldn't approve).
- 30% cash
- 48% bitcoin
- 31% tech ETFs (currenly struggling)
- 1% defi tokens
That's it. A sad sight if you're against Bitcoin. Happy if you're for it.
My thought process:
- I believe Bitcoin is the best inflation hedge
- The cash is my bitcoin hedge (in case I'm wrong)
- The ETF's are my cash hedge
- The DeFi tokens are just for fun
I've found investments safe enough to not diversity. Truth is, I think diversifying is overrated.
When Warren Buffett lectures at business schools, he says:
“I could improve your ultimate financial welfare by giving you a ticket with only 20 slots in it so that you had 20 punches—representing all the investments that you got to make in a lifetime. And once you’d punched through the card, you couldn’t make any more investments at all.
Under those rules, you’d really think carefully about what you did and you’d be forced to load up on what you’d really thought about. So you’d do so much better.”
I've had months of checking why Bitcoin is a terrible investment. I've found more good than bad––so I'm loading up (even if my main men Munger and Buffett would disapprove).