Let’s say I offered you the option to invest in a monopoly or in a hit-driven company whose survival depends on always finding the next big thing? Which would you invest in?
Before you answer, let’s say I offered you the option to invest in a person who has a large inheritance or a person who is poor but is hustling for any opportunity. Whom would you invest in?
Before you answer, let’s say I offered you the option to invest in real estate of a city which depends on a stable, capital-intensive manufacturing base or one where they make nothing but movies. Where would you buy land?
Each of these reflect the same choice: stability vs. instability, the known vs. the unknown.
Historically, capital has always gone toward the stable and away from the unstable. Wealth has gone the other way.
Onward.
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