Nassim Nicholas Taleb: "you should study risk taking, not risk management" 

01:00 there is high economic risk, increase in debt 01:21 have increase in moral hazard, people gaming the system 01:38 there should be no risk management, you should study risk-taking 02:15 you have to worry about an industry that is dominated by non-risk-takers discussing risks 02:30 big data brings more risks than it solves 03:04 too much data yet our technical understanding has not grown 03:18 machine learning, AI will not help with fat-tails 03:48 psychologists shouldn't tamper with paranoia 04:18 have paranoia about ruin, leave risk-taking for things that do not entail ruin; volatile income + lower tail-risk > smooth income streams + higher tail-risk 04:54 opportunities in crises exist 05:24 the large majority of grandmothers' findings have been replicated and hold (unlike those of the majority of psychology papers) 06:16 (wrt globalisation) the world has lost its "island" properties 08:10 localism > globalism 09:00 what holds for 2019? well be talking about the same things next year, as we did this year

One of the smartest out there. People should follow him more than any other financial commentator.

god bless Nassim Taleb

I just love this man. This is the calmest and most endearing I've seen him. He's just off the scale insightful.

To my understanding this just proves how much we need an edge as investors because playing the market like everyone else just isn’t good enough. I've been quite unsure about investing in this current market and at the same time I feel it's the best time to get started on the market, what are your thoughts?

so the last time he was in riskminds was 98" two years before the 00´s crash , and here he is 2018" two years before the 2020´s crash? :o he is gonna be my new crash indicator

taking risks that don't lead to ruin, like being a concerned and genuine person who cares on multi levels. thnk you Taleb

We will be talking about the same thing today, and in ten years ahead with some variation. Taleb's mindset is deep and profound!

Listening to this shows up a lot of paths we can go down from 2020 onwards. Rellz insightfull interview

A real thought leader of our time.

This man is just too brilliant

*Thank you for delivering the intelligence*

Very interesting and thought provoking conversation. Thank you

I will be forever grateful to you, you changed my whole life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Mrs Maria Reyes.

Wow! Never thought of this. I was actually looking up the software- I’m at the pony where I have risk of course , but I have been doing risk management too but this is a new perspective for me! especially your words on paranoia

Love Taleb.

Great chat!

Brilliant mind. Loved his book Antifragile. Globalization and the winner take all effect at 6:48

I need to watch this every month :O

That aged WELL

I want to see his lecture!!

what surprises me is that there are only 3.7k people who liked this video, that means we have been tough by a deep end genius....

People need to study getting off their butts, and reducing the risk when moving at speed.

where is the lecture?

Where can I find his lecture.

Agree, concentration and superstar phenomenon have become a problem.

It's amazing how nice his skin quality care is for his age! I'm in my 30s and have the skin ageing of a 70 year old 😢

Too good

this guy really sounds smart...it is my first time to listen and add value to my useless and insignificant existence.

Light-years ahead of his peers.

wisdom > models

In the wake of corona, I think the questions that should be asked by corporate risk managers are, will govts be able to continue to provide QE/bailouts and how should companies/banks incorporate this into their risk analyses? Healthy, conservative companies have gotten screwed twice in two decades already. P&G could have bought a few companies on the cheap after 08 and become 2x larger than it is now. Just sayin'

The thing he said about grandmothers.. I agree, however, the world is ever-evolving so their advice might hold us back rather than show us the way forward

Genius! As usual.

My Polish grandmother in Detroit told me "Learn history because it can kill you." I also learned and studied to become what I call the Polish-Ukranian Wise Man Job - Busha (babushka) often said, "My father knew when to get out of Poland (Russia)" (She remembers him saying 'these young guys are no good. A stint in the army would straighten them right out.' August 1, 1914.... he knew and headed straight or the port, first ship back to America. His wife and the kids followed shortly after. The Tzar didn't want to draft them. So as a small child I just figured it would be my job to always know when to tell everybody, 'It's time to go!" Of course I live in the U.S. so far so good. I moved to California and have appreciated how amazingly easy and reasonably safe our lives here are, hence, Polish -Ukranian Wise Man corollary: Also appreciate when you have it good. Something else I know about my grandmother. If she watched this video she would go on and on about how menacing Taleb looks. That's another aspect of grandmothers. She was very smart (dropped out of school after the third grade went to work) so later if I repeated what Nick had said, she'd say, "That's smart." And if she were still alive today (117) I say, "Yeah Busha, reading this guy's books has made me a lot of money, even when I don't do everything he says." And while I'm yammering on to no one.... Globalism is profitable, but then there's West Virginia. The solution for them individually is what I did, I got out of Detroit when it was clear it was failing. Everyone can't move to California and a lot of those people like where they live, especially like the network of family and friends they have. The better solution is to make sure they all have a basic income, good healthcare, good schools (Now Globalism doesn't have a problem in W. Virginia, they have customers) but this leaves another problem, what do they do to for meaning? (I invest in Tesla, recently I've done really well. Of course I check on all the variables...but to me this investment is obvious, it's almost guaranteed, but it lacks meaning. Tesla is changing the world, but I'm just making money. (I invested in Tesla because I read a book exhorting me to 'have my skin in the game.' The money is nice, but I can see how easy it can be to just become a rich idiot. )

this guy summarizes in one sentence why AI will never take over

this seems to be the most cool and eloquent I've seen and heard him, and my guess it's because the room is so noisy, that he feels like he's in the traders room...

Anyone else is listening to this during the chinese flu Pandemic?

Hi where can I find that lesson where he explains how big data increase the risk rather than reduce it? Is there a video somewhere? Thanks

I wish I had the statistical and mathematical knowledge to understand Nassim, and actually learn and apply what he recommends.

Learn from collective exp. of time dynamically.

What is the interviewer’s name?

Man, I learn so much, yet am not any closer to finding out how to *APPLY* it… How about a practical example? Not a _”universal”_ solution, but just a way to deal with a certain form of risk.

let's all come tomorrow :p

*_Risk management is a component of risk-taking._*

100% he's so spot on. Our systems are weakened by lack of skin in the game and risk-taking. Protection creates interventionism and defensiveness. Risk-taking is also more important than knowledge: ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-f2eVkvBVDgE.html

But WHAT are the grandmothers right about? That's what I want to know

On why Grandmothers are right .....5:00 and Psychology papers/studies are wrong 50% of the time (grandmothers have dynamic knowledge over longer time intervals),

taleb should study bmi

KELLY CRITERION

Risk taking kya sikhna. Earn two grand. Start dabbling in stocks.

Start this over. When he says 'risk taking,' think "no birth control" and see if it changes your perceptions.

Black Swan: "Bad things can hurt you." Antifragile: "Bad things can make you stronger." This guy is all over the map.

I would become billionaire in next 70 years

.. as a German Biologist - my old Buddy from East Germany... Herr Putin is your BEST student he takes ALL the risks including his own fatality. It is never about Losing it is about how long to ride the Bull...

Risk takers and risk management, hmm. I don't agree here. What risk management is doing is quantifying the risk upto level, or just looking at the facts and then deciding whether to go ahead with a decision or not. Blanket statement, such as, there must be risk takers and not risk management, will only lead to potential disasters, by individuals in corporates.

and then came covid 19....

Unless he has made millions and millions....what he lectures and what he says means nothing

every country should impose digital tax on google, facebook, and the other giants.

does this guy has anything new to say over the past 13 years?

he's just in love with himself, for saying things that are quite obvious, lol

😁 I think someone’s wishful thinking is still there ... listen, keep this Corona bull up all you want - next “risk” I take is a lawsuit 🙂👍

100% Lebanese

Risk management goes through risk taking, as it's a part of risk management. By learning to manage risk you learn to take risks appropriately. Nassim Taleb is overrated and after his daft 2010 predictions I've lost all respect for him. This is the issue when you start asking questions to people that have no idea what they're talking about.

It's stupid to say he is the smartest out there. How would you know? You probably dont know the math he knows. The problem is that no one is immune from conceit. Not even Nassim Taleb. But, I like Nassim Taleb and he would be my friend if he would answer me once in awhile.

Shits wherever he eats. Imma outta here.

She was way out of her depth and did not get most of his insights, no ones fault.

He is the most annoying person. His cross says it all. Yeah he is a genius alright.

So what's the point of viewing his content and reading his books if life is about random sequences... this is like a priest tells you this world gonna end tomorrow and also sells you a cow.. what hell you will do with that cow and the priest with the money.. same way what do we can do collectively in all this randomness and nasim who randomly wrote a book and that book randomly got famous and then randomly 3 or 4 times he wrote some more random books and then he started preaching all this random knowledge to random ppl... how he said what was true 10 years ago but how the hell could be true if everything is random..

Taleb has been acting like quite the fool, recently.

Taleb is the biggest clown around.

That point about incorporating prior relevance is pure Bayesian