Opposite of Luck

When we think about luck, we often associate it with fortune. So the opposite of luck, by that association, is misfortune.

I disagree.

I learned from a book recently that this isn't true. Contrary to popular belief, the opposite of luck isn't misfortune. In fact, the opposite of luck should be risk or probability of insecurity.

Why do I say this? A simple example, also perhaps a differing point of view, is that luck plays a role in success, no matter how small. Drawing from an experience of a relative, I saw how lucky he was when he became a millionaire, not through a single event, but a lot of hard work—but also, luck. He's not a fluent English speaker, but he was mostly at the right place and the right time in growing his business. Recently, I found out that his company was fined $200,000 for breaching worker's safety regulation—and I don’t think that was a misfortune for him.

But then you might say, what does have anything to do with his fortune and success? Well, fortune, or an outcome of success, really depends on how well you manage your risks. You can’t manage misfortune. Misfortune cannot be measured, whereas risk is somewhat measurable.

So, when it comes to growing your wealth, you might get 'lucky' in your investing journey, but always remember, when things go bad, it's not all bad luck. It's how you manage the potential insecurities of the outcome you are expecting.

I hope there’s some benefit in this edition of newsletter. I hope it’s not too late to wish you happy new year 2024.