Mudakon

It all started with me watching a HL2 walkthrough and counting all the steps (figuratively and literally) it takes to get to the Kleiner’s Lab. Now I wanna become the next Buffet. Our life is all about building unique connections.

In the beginning of 2023 I implemented Luybischev’s System into my daily routine and then created my first personal finance dashboard (hide gridlines – it will make your dashboard look more pro) + kanban board. Greatly improved my performance and helped me worry less. Forgot something? Just check your sheet. Just don’t forget to write everything down beforehand.

And so I keep asking myself “What else did I miss?”
The only way to find out is to grind, find nuggets of wisdom and new directions to follow.
The journey never ends

FIN 150: Personal Finance

• Set goals – something to strive for
• long term/intermediate/short
• SMART – specific, measurable, attainable, realistic, time

• Budget – spending plan
• Types:
  • written – write down your expenses by category
  • envelope – put the money in the designated envelope (entertainment, taxes, etc.)
  • mental

• Credit – receive now, pay later
• insurance – prevent loss

• Types of investment
  • Money market securities (cash, deposit)
  • Stock (company ownership)
  • Bonds (govt or corpo)
  • Mutual funds
• Common mistakes
  • Unrealistic goals
  • Lose sight of the goal
  • Borrowing to invest
  • Taking additional risk to cover previous losses
  • accepting advice from “The Expert”

• rule of 72: 72/r=n where r=number of percent and n=number of years to double your gains

7 Crisis Management Training Videos

• S.O.A.P. – subjective (what others say about the issue), Objective (what evidence you have and can observe), Assessment (based on input and observations), Plan
• Issues: with whom and at what priority

Time Management & TIME MANAGEMENT ⌛

• Plan your day the night before: checklist, TODO, by priorities
• review you day/week at the end of it.
• action plan: what you want, write them on paper, set a deadline, write down everything you have to do
• positivity matters (but don’t fall into the subjective idealism trap)
• start with the hardest task first
• ask yourself what’s gonna happen if you do/won’t do it? disregard unimportant tasks
• Don’t watch TV, stop using social networks
• batch tasks together to stay in the flow
• Do the most important thing now
• Concentrate on one thing

Personal Management Videos

• Procrastination is a form of stress relief
• Leadership styles:
  • Structural – everyone know what needs to be done. you assign people
  • Participative – put them first. Time, caring, respect. hear them
  • Servant – manage them how you them to manage you
  • Freedom
  • Transformational – tap into their dreams, lead by example
• always learn – never be satisfied. You’re always missing something

William Ackman: Everything You Need to Know About Finance and Investing in Under an Hour | Big Think

• Balance sheet: Assets, Liabilities, Net Worth
• Never lose money and never forget about Rule #1
• invest in companies that can last forever
• Sell something people need, that’s somewhat unique. Brand loyalty
• A good money manager
  • easy to grasp investment strategy
  • good reputation
  • value approach
  • 5+ years of successful track record
  • consistent approach
  • invests money in the fund
• Key to successful investment
  • invest in public companies
  • understand how the company makes money
  • invest at a reasonable price
  • Invest in a company that can last forever
  • Limited debt
  • high barriers to entry
  • immune to extrinsic factors
  • low investment costs
  • avoid businesses with controlling shareholders

personal finance 101, personal finance basics, and fundamentals

• our need and desires are manufactured. We don’t actually need all that shit

🤑 Personal Finance 101

• budget money
• save money
• make money
• grow money

• https://ef-calc.vercel.app/
• Invest in yourself
• (her sheet skills are on point but I’d google other personal finance spreadsheets and dashboards. Hers is cumbersome)
• Have a main job that pays the bills and invest the rest of your time in side hustle that you love
• put limits on how much you can spend in one month

Financial Management / Corporate Finance

• (This one is a bunch of boo-bah-bah)

Personal Finance

• Education is a good investment
• Learn compound interest
• spendings stack-up
• pay the largest debt first
• start early
• save at least 10% each month
• diversify

Marketing Management

• Paid, Owned, Earned media
• (rewatch later)

Financial Management – Undergraduate

• (Absolute state of bullshit)

investing 101 & business management 101

• Set up goals
• 50/30/20 Budget Rule

Project Management Videos

• set up estimates
• monitor and manage incomes/outcomes
• (I’m gonna call these types of videos A=A. “How to be a good leader (A)?” “Be a good leader (A)!”)

Stock Market For Beginners in 2023 (ULTIMATE Guide)

• Stock – share in company’s ownership
• You own assets and liabilities
• Bond are debt obligations
• Bondholders take priority during bankruptcy
• Portfolio – bunch of investments you have
• Bull market: less stocks v bonds
• IPOs are risky. Not for beginners
• Stock market transfers money from inpatient investors to the patient ones
• Price to earnings ratio = market value / earnings per share
• High PE means that company is overvalued
• Compare stocks in the same sector to learn their PE
• Dividends – cash payments paid to the stockholder
• Inflation – less purchasing power over time
• 2 portfolios – blue chips + risky speculations
• Value Investing – looking for long-term gems
• Invest in companies that have been paying dividends for decades
• Buffet’s 6+1 questions:
  • Is the management truthful and straightforward
  • Can I understand this business?
  • Is the operating history consistent?
  • Long-term competitive advantage
  • Fair treatment of its shareholders
  • Leader or a follower?
  • Goodwill (reputation)
• Concentrate on big earning reports
• Recap
  • Learn about the management
  • Read the vision/outlook report
  • Study the balance sheet
  • Analyze the income statement
  • Review the cash flow statement
  • Read quarterly earnings reports
  • Uncover more details in the 10q
• Sector – group of related industries
• Don’t make big moves often
• Long-term investments pay less taxes

Introduction to economics | Khan Academy

• According to Adam Smith, there are only individuals promoting their own interests who are guided by some invisible, magical, and all-powerful Invisible Hand. This passage is the only time Adamu Smithu mentions this term. It never appears anywhere else in the text nor he explains exactly what he means by it. You can check it for yourself. And what about Aristotle’s claim that “… man is a more social animal…”?
• Microeconomics – how economic actors make decisions and allocate scarce resources
• Macroeconomics – millions of actors, policies
• Factors of production: Land, Labor, Capital, Entrepreneurship
• Capitals – something to produce other things.
• Normative – how things should be. Positive – how it is. (his examples are atrocious. Just refrain the Normative questions a bit and you’ll get whatever statements you want. )
• Watch Safronov’s lectures if you want to know how the planned economy actually worked and why it failed (spoiler: counter-revolution and not enough planning)
• These lectures are so abstract and they just repeat the same talking points. This is what’s written in the USSR’s Political Economy book about the goal of the soviet economy: “The purpose of production, both in socialist and in communist society, is the maximum satisfaction of the constantly increasing material and cultural requirements of the whole of society. The means of its achievement is the continuous growth and improvement of production on the basis of the highest techniques.” BTW, there were several planned economies in the USSR at different times: war communism, GOELRO, 5-year plans, 7-year plan, Kosygin-Liberman reform (where they stopped planning labor productivity, lowering costs, number of workers, etc.), OGAS (in theory) and other attempts to computerize and automate the creation of plans. And planned economy is inevitable because, the consequence of any completion is the creation of monopolies. Most companies fail or get absorbed, and some get bigger and bigger
• “exactly the same car and the same number of apples” – that’s just a lie. “from each according to their ability to each according to their work” under socialism and “… to each according to their needs” under communism. By “equality” Marx meant the abolition of classes and private property. Create only one and equal relation towards the means of production.
• “innovation and incentives”, Again, watch Safronov and read Lenin’s “socialist competition”. Also TRIZ, KANARSPI and Deming/TQC. Under socialism people are going to work not because they’re forced to to survive but because it’s a conscious necessity to satisfy their “constantly increasing material and cultural requirements“. Humans are working animals.
• In the Communist Manifesto Marx thanked capitalism for removing cultural and economic barriers and being the most productive system to-date. But things change. And these days capitalism no longer solves humanity’s problems but only destroys and transfers money to a smaller % of people who hide in their bunkers, making ugly cars, houses, UI, UX, getting us addicted to their services and substances.
• Production Possibilities Frontier – a idea to impress children and not much else. I don’t know why economists run around with this idea so much. Considering that we have to do a lot more than 2 things every day, there has to be a better way to track your PPF. Stacked Column Chart perhaps? Besides, what if you’ll break your leg or get sick? What if you’d find a partner? What if you’d find a place chock full of berries or make a trap for rabbits? You’d have to rewrite your PPF on a daily basis. Besides besides, nature doesn’t work like that! Sometimes you catch rabbits fast and easy and other times you can’t catch even one no matter how hard you try. You can’t make calculations like that. This example is spherical and exists only in a vacuum. Marx ranted about these Robinsonadas a lot better that I’ll ever be able to do so read him
• Stop talking about your PPF for fucks sake! I have no idea how it’s going to solve my financial problems. People can trade not only countable things like apples and shirts but also something intangible like votes. “Gimme money and I’ll vote for you” or “give me money or I’ll rape and pillage your village”
• They constantly talk about how Marx is old and outdated while using an even older idea of some Invisible Hand that flies around and controls our economic decisions as a mantra. Even that is not true: they simply ignore Marx entirely
• Comparative advantage – produce more. Absolute advantage refers to the uncontested superiority of a country or business to produce a particular good better.
• Advantages are find and all but there are also quality, time to get them from point A to B, how much the producers need in the first place, etc.
• The Law of demand is not a low at all. Let’s quote Charlie Munger:
  • Luxury goods: Raising the price can improve the product’s ability as a ‘show-off’ item, i.e., by raising the price the utility of the goods is improved to someone engaging in conspicuous consumption.
  • Non-luxury goods: same as the second factor cited above, i.e., the higher price conveys information assumed to be correct by the consumer, that the higher price conveys higher value.
  • Raise the price and use the extra revenue in legal ways to make the product work better or to make the sales system work 
  • Raise the price and use the extra revenue in illegal or unethical ways to drive sales by the functional equivalent of bribing purchasing agents or in other ways detrimental to the end consumer, i.e., mutual fund commission practices.
• You can make Windows Vista free of charge – I still won’t take it. You’d have to give me lots-o money for me to touch that Beelzebub’s Abomination. Besides, if there are only so many people who can buy your stuff, you can slash prices all you want they still won’t buy more than they feel is necessary. Let’s say there is a fruit that eliminates hunger for the entire day, last just 24 hours, and costs 10$. You buy one in the morning and don’t have to buy another one until the next morning. You can lower the price but people won’t be buying more of this magical fruit because there is no need for that. What am I going to do with it? I can’t store it – it’ll rot in 24 hours. I can’t sell it to somebody else for profit – others already bought it themselves. Make a cider? Simply eating it is enough, as I said. No additional perks of eating more of this fruit. Sell it to scientists? They can buy it from the vendor at a lower price. Actual example? A backpack. I already have one so no matter how low the prices on other backpacks might get, I still won’t buy them because there is only so much stuff I need and/or can consume daily. People have preferences. Sometimes they don’t even know that there is a sale. I wanted ketchup so I bought it in the nearest supermarket but then I randomly stumbled upon a random supermarket where they were selling this exact ketchup at a discount. Did I make a mistake? Don’t think so because tracking prices takes time. Using this fucking PPF analysis we can conclude that I sacrificed some money to save some time.
• If people’s income goes up they might start saving more, or paying debts first, or start investing. Another question is “by how much?” If the answer is “not by much” then they might buy the cheapest car or not buy anything at all, OR if the income goes up people might start buying more cheap shit. Why? Simply to try it or because the cheapest good still solves all of their problems. There are a lot of possibilities
• “The higher the number of suppliers – the higher the supply will be”. Who knew?!
• You know what I also don’t like? When prices change constantly. I actually rarely see prices fluctuating like they show in video 28/31. Typically, when prices rise, they rise not because there is a change in demand but because the suppliers decided to raise them to make a buck. We now have computers and databases. I know how much I spend and on what simply by opening my banking or store app. They know exactly how people are going to spend their cash probably years in advance already. I have items saved for future purchase and filtered by priority. Planned economy is a reality and a necessity. Innovations are going to happen not because of competition but because of necessity to solve a particular problem a bit better than the last time. Safronov again (how Stalin’s economy worked):
  1. Price press (keep lowering prices thus forcing directors to optimize and innovate)
  2. Socialist competition, rationalization, share know-hows
  3. Personal investment
  4. Directives (formulate on top, add details on the spot), tree of goals, plan only a couple of dozens goods
  5. Fear of losing your position (REPRESSSSIOOOOOOONS!)
  6. Leading goal – take one particular industry and develop it for the next 5 years
  7. Plan has deadlines which forces you to be creative
  8. Program-targeted
  9. Normatives – what to produce, its price, lower the price over time
  10. Stahanov’s Movement – search for innovation and initiatives among the masses and see how they interpret it. 
  11. Total production line: power station that powers factories taht make stuff, etc.
  12. But if you work hard and instead of bonuses Gosplan gives you more job – that’s bad (give time to adapt; don’t increase pressure after certain point)
  13. It’s better to overreach (at first) than to be optimal. At first you don’t know how much you can produce
• For example: we have a car. It’s the cheapest possible model. How to make it better? The easiest answer is to add features from more luxury cars without raising its price. Then update the current eco-standards, lower fuel consumption, lower cost (if possible), make it faster, make it safer, produce it using newer production standards and know-hows. Apply the car to solve new tasks. Make it easier to fix and upgrade. Let random mechanics tinker with it to see what they can do. Start a competition: ask people to improve the car in some particular way (price, safety, feature set, unusual uses, power, etc) and reward them accordingly.
• Oh, yeah. You can also manipulate the market using ads to increase sales without changing the price
• We do need a good course on political economy, dialectical materialism, Marxism, and planned economy and how it actually worked. Khan’s format is actually good
• Reading “Introduction to Austrian Economics” by Thomas C. Taylor. Here is what he write about the principle of marginal utility: “Valuation is always directed toward a definite quantity of a particular good or service. Choices and decisions are not concerned with the whole supply of a certain good or service. This marginal orientation was lacking in the classical economists’ groping with the so-called paradox of value. They were unable to resolve the intriguing question of why diamonds had a higher price per unit than water when everyone knew that water was more useful and valuable than diamonds. Only through the principle of diminishing marginal utility could this conceptual dilemma be eliminated. Each additional unit of a particular good is devoted to a use that is less important and urgent than the use to which the preceding unit was applied.“ (emphasis is mine)
  Except, we need water every day. Daily utility of water never diminishes. It always stays at 1 – we need at least one cup of water every day. It’s 365 annually. 70*365 = 25550 points throughout our lives. We need diamonds on the other hand just once or twice in a lifetime. Marriage and maybe some item to sell to a nearest pawn shop owner in case of emergency. That’s 2/25550 at best. I spent 5 years on studying game-design only to write a bunch of articles nobody’s going to read that also repeat AlexK’s and Wlad Marhulets’ findings (I’m sure Valve has guides on how to make killer levels/games). I have no desire to go through all that again but this time for economics/politeconomy. Don’t wanna, won’t do.
• Here is a quote from Bukharin’s book “Economic Theory of the Leisure Class” to end the discussion and move forward with my life: “To be sure, the theorists of the bourgeoisie had assumed an individualistic attitude even in earlier periods; they always enjoy making references to Robinson Crusoe. Even the representatives of the “labour value theories” based their position on individualistic references: their labour value was not, as one might perhaps expect, the social objective law of prices, but the subjective evaluation of the “economic subject” (the economic man) who evaluates the commodity variously, depending on whether the expenditure of labour has been connected with greater or less inconveniences (for example, Adam Smith). It is not until Marx that the labour value assumes the character of a “natural law,” making the exchange of commodities independent of the will of the agents of the modern order of society. Nevertheless, it was only now, and precisely in the doctrine of the Austrian School, that psychologism in political economy, i.e., economic individualism, attained its justification and its completely renewed formulation in political economy. (Cf. Albert Schatz: L’Individualisme economique et sociale, 1907, p.3, note.)“. Don’t know much about the guy. I hope everything went well for him.
• Marginal utility works if you have just one Robinson but doesn’t work in reality where you have lots of people and commodities. Proponents of MU ignore production. People diest have to produce a commodity before selling it. Just because you don’t want to buy additional units at the current price doesn’t mean that the seller is going to lower the price because you’re not the only one who buys, it takes some amount of labor to produce it and the seller has to make profit at the end of the day

The Only Technical Analysis Video You Will Ever Need… (Full Course: Beginner To Advanced)

• (technical analysis is very visual so I don’t know how to describe it)
• If the price stays above the previous lowest of the low – then the trend is upward
• Definitely not for me. Doesn’t say anything about the health of the company/currency, what’s happening in the world, socioeconomic trends, etc. It’s too technical for its own good. Besides, when he talks about the 3 types of candles, you can clearly see more examples of 38.2 candles where nothing happens after they show up rather than things happening according to his theory

AP Macroeconomics

• CPI is used to measure the cost of a typical basket of goods
• GDP is an outdated way to measure the well being of economies. Doesn’t consider pollution, happiness, stress, equality, etc.
• PPFs again. Fuckers.
• They talk a lot about the Invisible Hand but never mention
  • “People of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices.”
  • A merchant, it has been said very properly, is not necessarily the citizen of any particular country. It is in a great measure indifferent to him from what place he carries on his trade; and a very trifling disgust will make him remove his capital, and together with it all the industry which it supports, from one country to another.
• Commies went to space first but the US ignored their absolute advantage and built its own space program thus slapping Adamu’s hand AND ass.
• Economics explanations are ahistorical. They never talk about how these ideas came to be, why, how they evolved over time and how they’re going to be replaced in the future.
• Full employment – the level of employment the economy can sustain
• Money multiplier feels like bullshit. Can’t put my finger on it though. What if people decide to save money or lose them?
• Contractionary v Expansionary fiscal policies. Again, it’s so unspecific and insufficient. Raising taxes and decreasing spending are not the only ways. How about implementing new tech and know-hows? Automating some processes while offering people other opportunities? Use propaganda? I know he specifically says “fiscal” but I feel like he’s talking about all the wrong things and doing it badly

Theory of consumer choice | AP Microeconomics | Khan Academy

• But what about exchange V use value? I never thought about buying stuff like that. It’s either 1 – I want one right now or 0.1 – I don’t. Besides, when I go to the store, I first check what’s on sale, if the price is acceptable and if it’s something I like. It goes like “I want something sweet within this price range -> this general category -> these particular types of candies I know will satisfy my sweet-tooth” If I can’t find anything, then I buy beer, go home and masturbate. Works 83% of the time. Other times, I might remember that I have to save money to buy something else entirely so I won’t buy anything at all
• They miss Marx, lie, don’t talk about Smith’s critique of the division of labor, their formulas and graphs don’t work in real life. Sure, I’m just a novice but I can’t find anything useful in these videos
• You rarely can describe utility in numbers. I bought the cheapest backpack I could find because I needed one. I was ready to throw it away immediately after. But it proved to be way sturdier than I anticipated so now I use it constantly. On the scale from 0-100, that backpack was 30-40 when I bought it but now it’s located within the 70-80 range. But that’s now how I typically measure value. I measure it like “does it solve my problem? Yes or No?” Sometimes you can also add its price and how long you expect it to serve you. It’s not a number but checkboxes
• I’ve also never seen any pop-money-managers discussing value like that

Firm behavior and market structure

• Maximizing profits is just one of the things firm have to do. Provide jobs, solve problems, innovate, unite, organize and educate people also matter
• Supply and Demand curves are also bullshit. While you can know how much you produce, you can’t know how much people are going to buy from you and how much from your competitors. There are fluctuations in demand, production, delivery, changing tastes. Ads and larger events (like COVID-19) might change the number of toilet paper people buy. If anything, it should be a range instead of a line. Prices withing this range are fine, for example. Also, I’ve rarely seen prices fluctuate like it’s shown in these videos. Prices typically stay the same until the producers decide to raise the prices. They lower prices only to get rid of its warehouse surplus or to stimulate sales of other, supplementary goods. A production price for outputs in Marx’s sense always has two main components: the cost-price of producing the outputs (including the costs of materials, equipment, operating expenses, and wages) and a gross profit margin (the additional value realized in excess of the cost-price, when goods are sold, which Marx calls surplus value).
• Oligopoly – few sellers
• They draw a lot of graphs but never take actual examples
• Prisoners Dilemma is a thought experiment and not much else. What if there are 3 prisoners? What if the game is played twice? What if one of the prisoners would decide to testify against himself for whatever reasons (wife is a butch, kids are gremlins, tired of crime and wants to go clean and become an influencer because robbing losers is a lot more profitable these days than robbing banks while the second one hires the best lawyer there is, or if he knows something else, or if there are political reasons to keep him free). What if P1 keeps his mouth shut and P2 spills the beans but in the process we learn that he murdered someone? Gimme actual examples, fuckers! real life cases
• Nothing is perfect in our Universe. Contradictions is a source of life.
• Air Travel is perfect competition?! How many of you can buy a plane out there? Also, what does “identical product” mean? There are passengers, cargo (Amazon, FedEx), “special” cargo (weapons, risky chemicals), “special” passengers (the president, billionaires, military, prisoners). Not every company can or should be able to provide all of these services
• No wonder I failed in Uni. 3 times. Either this is donkey shit or I’m an idiot. Keep digging

Personal Finance

• owning shares – become part owner of the company
• (not interesting)

Stock Investing Like Warren Buffett – Beginners | Intermediate | Advanced + this

• (rather good but too long and the only way to learn it all is to practice)
• Take a company. Find out what its share price is. If the actual price is lower – bingo
• The value is what you’d be willing to pay for
• Financials – Income Statement, Balance Sheet, Cash Flow
• Stock must be understandable, have long term prospects, managed by vigilant leaders, must be undervalued
• P/E – for every X dollars I spend buying this stock I’m going to get 1 dollar later
• P/B – for every X dollars I spend I’m going to get $1 of equity
• P/E and P/BV must be low. P/E – 15 or lower. P/BV must be lower than 1.5. P/E * P/BV < 22.5
• You have to be patient. If you’re doing what everyone’s doing – you’re doing it wrong
• Debt to Equity should be < 0.5 and Current Ratio > 1.5
• Gross Margin > 40% (gross profit / revenue)
• Net Margin > 40% (net income / revenue)
• Capital expenditures / net income <25%
• When interest rates go up – bonds go down and vice versa. Buy when the interest rates are low
• You want to accumulate shares
• when to sell – better opportunities someplace else. the company changes its fundamentals
• Return on Equity – B’s favourite number ROE=EPS/BV. (should increase over time)
• Div/Yield – 2-7
• (course 3, video 6. screener)

Stocks and bonds

• (not interesting)

The Complete Investment Course

How to invest (from one of the NPR lifekit podcasts)

• Don’t pick your own stocks.
• Don’t sell stocks if the market crashes.
• Diversify your portfolio.
• Don’t pay too much in fees.
• Invest in index funds, not actively managed funds.
• Rebalance your portfolio every year — then leave it alone

My take:

• Are you tracking your expenses and time?
• Are you food secure?
• Do you have a place to live?
• Can you pay your taxes?
• Emergency fund?
• Can you entertain yourself?
• Do you have cash under your mattress/in an envelope for the new year/long term purchase
• Deposit
• Do you have “fuck you money” you can burn in a chimney right this second?
• A bit on top just cuz
• Now you can start investing

If you’re like my mom:

• Immediately expects high returns
• Wants to invest in high risk, “high reward” companies who do god knows what
• Expects guarantees
• Wants to speculate daily
• Dreams BIG
• Wants to invest high sums of money
• Wants to use her life savings to do that
• Trusts some randos on the internet based on their “cuteness” and ignores professional advice because “it’s not entertaining”
• Doesn’t read
• Feels over Reals
• “It’s not about me for I’m not a loser”
• “Pessimists lose. Optimists win”
• Doesn’t verify and double-check
• Fell for the Nigerian prince scam back in 2008, 2010, 2011 (twice), and then some
• Doesn’t understand the concept of cold calls no matter how many times I had to explain it to her

DO NOT INVEST. Just don’t.
(Obviously you’ll ignore it but at least my ass is covered)

KANARSPI

• Prevention: Kanarspi focuses on preventing defects from occurring in the first place, rather than trying to fix them after they have happened. This is done by identifying and eliminating the root causes of defects.
• Involvement: All employees are involved in the quality process, from top management to frontline workers. This helps to ensure that everyone is committed to quality and that everyone is aware of their role in achieving quality goals.
• Statistics: Kanarspi uses statistical methods to analyze data and to make decisions about quality. This helps to ensure that decisions are based on facts and that they are effective in improving quality.
• Constant improvement: Kanarspi is a continuous improvement process. This means that there is no end goal, and that the system is always being improved. This is done by identifying and solving problems, and by implementing new ideas and technologies.