Luck

I was of the opinion that the people who say that "Money is not everything" are generally people who think they do not have enough of it. Ditto people who say that family is more important than success in career.

I was also of the same opinion when it came to matters of Luck. I believed that Luck was a concept developed specifically by unsuccessful people to explain away their lack of success. But recently I read a study which made me rethink. In Michael J Mauboussin's book Think Twice he highlights a study conducted by the Columbia University which shows that in real life i.e. in social worlds, social influences can catapult an otherwise average performer into the top ranks. While above average skills are only sufficient to ensure that you would not be thrust into the bottom, to be thrust into the top you need average skills plus the another factor that social worlds bring into the picture. That factor can be defined as Luck.

In case you are seriously inclined to read about the study then please write to me and I will send you the details. (BTW, if I get Rs 1000 for every person who did not ask for the details of the study, I will be a rich man!)

In any case, I do believe, that as long as you are trading on your own account, luck does not have a major role to play in your success. It is only when you define success as having a large assets under management that you come under the influence of social worlds and therefore under the influence of the social factor called Luck.

As far as my trades are concerned, I am long and will remain long until 5170 is broken.