The episode explains why traditional schooling teaches many abstract subjects but almost no practical money skills, even though everyone must manage money for decades. It shows how even “small” inflation, like 3% per year, slowly destroys the value of cash, so doing nothing is actually losing money. Because of this, we are all forced to invest and choose between different assets like stocks, bonds, real estate, and managed futures.We argue that stock picking and trying to “beat the market” usually fails, even for professionals, mainly because markets are very efficient and fees are high. Instead, the proposed solution is simple index investing: buying ETFs that own the whole market and letting the index automatically remove losers and add winners. A “boring” diversified portfolio of global stocks, managed futures, and bonds, rebalanced once a year, has historically delivered strong returns with manageable risk.

The key edge is not being smart, but being disciplined, ignoring the news, and avoiding behavioural mistakes like panic selling, overconfidence, and FOMO.

Agenda

• Why traditional education fails to teach practical finance
• How inflation forces everyone to invest
• Why active stock picking and “being smart” usually do not work
• The case for index investing and a simple diversified portfolio
• Discipline, behaviour, and the “slow money, big results” mindset

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