Jamie Dimon, CEO of JPMorgan Chase, learned the essential investment lesson of not blowing up markets at a young age. Buying his first stock at 14, he experienced a drastic market decline shortly afterward. This experience, coupled with witnessing several financial crises over the decades, shaped his cautious risk management approach. Dimon's mantra, 'don't blow up', emphasizes the importance of being prudent when others are overly optimistic. His strategy includes stress testing for catastrophic events, reflecting lessons from historical market crashes.
The lesson was simple, but unforgiving: markets can, and will, get ugly. Over the next decades, Dimon would witness-and survive-a parade of financial crises.
If there is a Dimon mantra, it is don't blow up, by which he means you should try to be cautious when everyone else is excited about something.
There's always this ecosystem-everyone's doing it, everyone's okay, this time is different. History teaches you a lot.
Whenever he hears someone argue that a market event is too rare to matter, he said he points to past crashes.
Collection
[
|
...
]