Photo credit: Alex Proimos || A bunch of con men attempt to bilk an unsuspecting lady
There are many ways to try to cheat people in the investment world. You can promise them:
No risk (an appeal to fear)
High returns (greed)
Secret knowledge (can appeal to either or both fear and greed)
An easy life, free from the worries common to man.
And more…
For virtually every human weakness or sin, there is a road to cheating men. This is why it is difficult to cheat a truly honest man, because an honest man is:
Industrious — he knows most ways to improve his lot in life involve considerable work, whether physical or mental.
Skeptical — he knows not everyone is honest, and there are many that pursue ways that harm themselves or others.
Self-controlled — he doesn't need to become wealthy, but if it comes bit-by-bit, he can handle it.
Unafraid — he doesn't scare easily, and there are many purported scares out there. There are always people trying to make money off of apocalyptic scenarios. (Believe me, in a truly apocalyptic scenario, where the government breaks down, or you lose a war on your home soil — no one wins. And, there is no way to prepare.)
Studious, and has wise friends — he doesn't quickly buy novel reasoning, or unfamiliar concepts without testing them, and running them past his personal “brain trust.”
Patient — he can't be rushed into something, and he can walk away.
Virtuous — when he does commit, he holds to it, and makes good on what he promised. He expects the same of others, and does not deal with those of bad reputation.
There's more, and I don't hold myself out to be perfect here, but that is a part of what I aim for. If you are like this, you will be very difficult to cheat.
The Dishonest Pitch
With that wind-up, here is the pitch: I ran across a video while doing my usual work, when I saw a picture of Buffett. Now, everyone wants to invoke Buffett because he is a genuinely bright guy on all affairs affecting money and wealth. Many who do so twist what Buffett has done for their own ends. You can see the graphic used to the right.
