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By: Courtney Asunmaa
Risk is like having ten pools and picking which one to swim in and you can even raise the risk bar by throwing chum in the water. One pool has sharks. The next has alligators. The next has 15 mullet. The next has snapping turtles in it. The next has piranhas. The next has an anaconda. The next has electric eels. The eighth has water moccasins. The ninth has crocodiles in it. The tenth has crocodiles.
Which one is the least risky to swim in if you don’t want to die and get a Darwin Award? You have to get into one pool. Which one do you pick for the least amount of risk? The risk here being death. Now assume you are a girl on her period. The risk jumps even higher up. There is risk and certain things heighten your risk. The lowest risk of dying while being in the pool would be with the 15 mullet. The correct answer would be the mullet being the least risky. All risk is not just using your common sense. It’s using mathematics.
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The problem with Peter Schiff is that he can’t predict when fundamental economic issues will manifest in asset pricing and that causes investors to lose money between financial crises.
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