Is going to Harvard a good idea? Of course it is. A Harvard degree is almost a free ticket to a good job that pays well. Is going to Harvard a good investment? Definitely.
|Not a typical drop out|
Point: College is useful.
Response: Bill Gates doesn't have a degree.
Can you make 20% or more a year every year over the long term on your stock investments? No you can't expect to do that. Individuals shouldn't expect to get stock returns that are significantly different than the overall market performance over the long term. Of course theres variations you may be a bit lucky or unlucky and do better or worse.
|Not a typical investor|
Response: Warren Buffet gets higher than average returns.
Compare the Bill Gates versus college and Warren Buffet versus investing discussions with the following :
Point: Making a 3 point basket from across half court with 0.5 seconds on the shot clock is very hard. Don't expect to be able to do it.
Response: LeBron James could do it!
So? Who cares if LeBron James can make a half court shot. He's a basketball super star. Just because a star athlete can do something doesn't mean that a normal person like you or me can do it.
|Not typical at all.|
For every LeBron James in the world theres millions of normal people like myself who are not particularly good at basketball.
There are exceptions the norm in everything. Rare extremely talented or gifted individuals can do that which most of us can only dream. These peoples individual experiences should not be considered relevant to our own individual financial planning.
Gates photo by Domain Barnyard, Buffett photo by Medill DC , James photo by Keith Allison