# BRAIN FOOD: THE PRICE OF RISK (NOV 2, 2025)

# Brain Food: The Price of Risk (Nov 2, 2025)

3 min read

  • Tiny Thoughts
    • If I were a doctor, I'd prescribe books. ⭐
    • When you stop treating your current opportunity as a stepping stone to something else, opportunity finds you. ⭐
    • Does the world happen to you, or do you happen to the world? ⭐
    • High agency people act like owners. ⭐
    • Act like an owner before you are one. ⭐
    • Core insight: A ownership mindset and timely action unlock opportunity.
  • Insights
    • There are no limitations to the mind except those we acknowledge. ⭐
    • People are not rational; they rationalize. ⭐
    • Learning machines rise in life by getting wiser each day. ⭐
    • Core insight: Mental models and continuous learning drive progress.
  • The Knowledge Project
    • Anthony Scilipoti is one of the sharpest minds in investing. ⭐
    • The episode covers the AI bubble, the price of risk, investing rules, red flags, Valeant, index investing, the rise of the retail investor, and why price creates narrative. ⭐
    • A Spotify comment calls it one of the best interviews for clear explanations, especially on Enron and financial statements. ⭐
    • Here are 10 highlights I took away:
      1. Nothing matters until it does. ⭐
      2. A calculator can give you the answer, but it can’t teach you math. ⭐
      3. Risk is highest when it’s priced the lowest. ⭐
      4. Price creates narrative. ⭐
      5. Positioning beats predicting. ⭐
      6. “The four most dangerous words in investing are: ‘This Time It’s Different.’” – John Templeton ⭐
      7. Experience is a handicap in a bull market. ⭐
      8. The road to implosion starts with us needing a few cents this quarter to hit a number. ⭐
      9. You learn by being immersed in the details. ⭐
      10. Success is achieving something you can share with those you love. ⭐
    • Core insight: The episode emphasizes price, risk, narrative, and continuous learning as core investing lessons.
  • Deeper dive & resources (The Knowledge Project)
    • Summary, 25 maxims, 10 deeper lessons are available. ⭐
    • Members have access to a hand-edited transcript. ⭐
    • Core insight: Additional materials reinforce and extend the episode’s lessons.
  • Sponsor: LMNT
    • LMNT is a zero-sugar electrolyte drink mix. ⭐
    • Brain Food readers get a free sample pack with any drink mix purchase at drinklmnt.com/FarnamStreet. ⭐
    • Core insight: Hydration without sugar supports sustained focus and energy.
  • Additional resources & notes
    • Nature-inspired design solves a real-world problem. ⭐
    • Clear Thinking, a NYT bestselling book, is on sale. ⭐
    • Core insight: Recommended reading and design-related insights are available.
  • Share & membership
    • To share this edition, use the provided link. ⭐
    • Upgrade Yourself: Members gain ad-free newsletters, Kindle highlights, hand-edited transcripts, early access, AMAs, and more. ⭐
    • Core insight: Membership adds enhanced access and features for deeper learning.
  • Bottom line
    • This edition compiles concise prompts, investment ideas, and recommended resources to foster high-agency thinking and informed decision-making.