🌱 My "Principle #1"

Investing. Thinking. Memorized rules.

Author

Mitchell Cohen
November 10, 2024

Principle 1 in Cal Newport’s Slow Productivity is DO FEWER THINGS. 

Here are unique ways to implement this in your life.

☑️ Investing (20 punch cards) 

One of my favorite frameworks is Warren Buffet’s 20 punch cards for financial decisions. 

Imagine you have a punch card with only 20 punches on it. If every financial decision uses one punch, you’d get very rich. “Because you’d think through very hard each one of them.” 

57 second clip

Video clip here. 

This framework applies to anything when you think about it. 

Narrow the focus and you can’t help but increase the quality. 

I think of it as a flywheel: 

1️⃣ Pick a few things I care deeply about
2️⃣ (I can't help but) spend more time on them
3️⃣ (I can't help but) increase the quality and output

Then have a system to periodically zoom out and reassess.

This also begs the question. What are your top financial bets right now? Do you have a working thesis of how you view the world? (ex: Life Investment Thesis)

🔍 Thinking (Depth)

If Chris Rock told the first joke that popped into his head, there’d be no Bigger & Blacker special. 

Comedians think levels deeper to get to the great jokes. 

This is the key to exceptional thinking for anyone.

Shane Parish calls this depth of thought: 

"Your first thought is what everyone else thinks. Your best thought comes after you've thought long enough to forget what everyone thinks. The difference between good and exceptional isn't hours worked – it's the depth of thought applied to the right problems."

🧠 Memorized Rules

Julian Shapiro has a concept of memorized rules that I love. 

The harsh reality is that we don’t *actually* implement most advice. 

Because humans are stubborn animals and behavior change is hard. 

But by implementing a few (no more than 6) memorized rules — you can upgrade your life like a new iOS. 

I personally like to organize these by themes. Here are mine:

Keep It Simple:

  • Start where you are. Use what you have. Do what you can. (Arthur Ashe)

  • If you rethink this from scratch, what would this look like if it were easy? (Tim Ferriss)

  • Follow your natural drift. (Charlie Munger)

Be Intentional:

  • Do fewer things. Obsess over quality. (Cal Newport)

  • Does the amount of attention I’m giving this match its importance? (James Clear)

Have a Bias Toward Action:

  • Today instead of tomorrow. Moving fast compounds so much more than people realize. (Sam Altman)

End of year is great time to update these!

What are some of yours?

Salud,
Mitchell