Sep

20

Imagine a world that were perfect. Imagine such a world would have no approximations. No variations. No risk.

Such a world would have no humans, but only pre-destined robots that appear to be humans. Such a world would also have no opportunities. In such a world, enterprise would have no value. It would certainly be a boring, unchallenging place. Such a world would have no incentives.

So we should rather feel happy that we live in an imperfect world that makes us perfectly human, offers opportunities, and incentivizes enterprise. Uncertainty should never be eliminated. If it were possible to eliminate uncertainties it would be a world of the living dead.

Well, if uncertainties prevail, the only choice we have is either switching off for a while from active risk to passive risk and then switching back on. Risk cannot be eliminated. From choosing styles, instruments, level of exposure we are only able to make a choice to believe we are better off handling one type of risk over another. Returns originate out of risk and not vice versa, since whether or not there are prospects of any returns, risk will always be there.


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2 Comments so far

  1. Aditya on September 21, 2016 9:55 am

    With robots carrying out trades, they are defining the limits of human risk. Great article for deep thinking!

  2. Sanwar Agarwal on September 21, 2016 9:28 pm

    Perfectly said Mr Kedia.. This is life real way .. There cannot be a better Computer that a human.. But all knowledge of most of us are covered by mud of gridyness , more desire and where human fails

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