An investor can leverage their understanding of the role of luck and risk for personal gain by incorporating these factors into their investment strategy. This can be done by acknowledging that luck and risk are inherent parts of investing and by not discounting their impact. For instance, they can diversify their portfolio to spread risk and not put all their eggs in one basket hoping for a lucky break. They can also learn from the experiences of successful investors like Bill Gates who had both luck (going to a high school with a computer) and made good decisions (hard work).
How should investors manage the inevitabilities of risk? What are the most powerful wealth-building...
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