Admired Leadership Field Notes

Share this post
Here’s a Coin You Should Toss
admiredleadership.substack.com

Here’s a Coin You Should Toss

Admired Leadership
Jun 20, 2021
Comment
Share

Sometimes an opportunity is so good it shouldn’t be missed. 

Pundits call these can’t-miss opportunities “asymmetrical.” What is an asymmetrical opportunity exactly, and why are they not of the too-good-to-be-true variety? 

Technically speaking, an asymmetrical opportunity exists when the risk of a trade is far exceeded by the potential profit of the trade. In other words, asymmetrical opportunities are wildly lopsided in your favor. 

How do you know such an opportunity when you see one? Apply Mohnish Pabrai’s coin-tossing metaphor: “Heads, I win. Tails, I don’t lose much.” 

Now, that’s an opportunity you shouldn’t miss. 

CommentComment
ShareShare

Create your profile

0 subscriptions will be displayed on your profile (edit)

Skip for now

Only paid subscribers can comment on this post

Already a paid subscriber? Sign in

Check your email

For your security, we need to re-authenticate you.

Click the link we sent to , or click here to sign in.

TopNewCommunity

No posts

Ready for more?

© 2022 Admired Leadership
Privacy ∙ Terms ∙ Collection notice
Publish on Substack Get the app
Substack is the home for great writing