Develop Good Habits: The Art Of Playing Defence

Develop Good Habits: The Art Of Playing Defence
Lazare / Pixabay

Whitney Tilson’s email to investors dissucssing Vatican used charity funds to bet on Hertz credit derivatives; develop good habits.

Get The Full Ray Dalio Series in PDF

Get the entire 10-part series on Ray Dalio in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues

Q3 2020 hedge fund letters, conferences and more

Vatican's Bet On Hertz Credit Derivatives

2) You just can't make up a headline like this!

Seth Klarman’s 2021 Letter: Baupost’s “Never-Ending” Hunt For Information

Baupost's investment process involves "never-ending" gleaning of facts to help support investment ideas Seth Klarman writes in his end-of-year letter to investors. In the letter, a copy of which ValueWalk has been able to review, the value investor describes the Baupost Group's process to identify ideas and answer the most critical questions about its potential Read More

This Financial Times article reminds me of a long-running Sports Illustrated blurb, "This Week's Sign of the Apocalypse"... Vatican used charity funds to bet on Hertz credit derivatives. Excerpt:

The Vatican invested some donations for the poor and needy in derivatives that bet on the creditworthiness of Hertz, the U.S. car rental company that defaulted on its debts earlier this year, according to documents seen by the Financial Times.

Develop Good Habits

4) Speaking of habits, it's something I write about more than two dozen times in my forthcoming book, The Art of Playing Defense. Here's an excerpt from one section:

Develop Good Habits

You can transform yourself into the person you want to be, but you have to decide early because the chains of habit are too light to be felt until they are too heavy to be broken. Warren Buffett

Think about that. All the little things you do dozens of times every day – your habits – define who you are, and once these patterns are set, they're really tough to change. Thus, it's critically important to develop good habits early in life.

Buffett tells students to look at the people you work or go to school with and ponder this question: who do you think is going to be really successful in life, not just financially, but in every way?

As you think about this, he continues, what are the characteristics you're focusing on? Are they smart? Do they work really hard and not give up easily? Do they have integrity? Is their word their bond? Are they 100% reliable? Are they well organized? Do they take care of themselves and not take foolish risks? Are they kind and a pleasure to spend time with? Do they make the world a better place?

Now ask yourself: what are they doing that I can't do as well? I think you'll find at least 90% of these traits are things over which you have total control.

So you see, he concludes, you don't need me to tell you what habits you should try to adopt – you already know. There's no secret – they're obvious! The real question is: what are you going to do about it?

Best regards,


Updated on

Jacob Wolinsky is the founder of, a popular value investing and hedge fund focused investment website. Jacob worked as an equity analyst first at a micro-cap focused private equity firm, followed by a stint at a smid cap focused research shop. Jacob lives with his wife and four kids in Passaic NJ. - Email: jacob(at) - Twitter username: JacobWolinsky - Full Disclosure: I do not purchase any equities anymore to avoid even the appearance of a conflict of interest and because at times I may receive grey areas of insider information. I have a few existing holdings from years ago, but I have sold off most of the equities and now only purchase mutual funds and some ETFs. I also own a few grams of Gold and Silver
Previous article Ten Great Things I Learned From People With ADHD
Next article How To Balance A Retirement Plan In An Unstable Time

No posts to display