Risiko
12 cards from across every topic, each citing a source. Tap one to open it in the feed.
- Don't trust advice from someone who loses nothing if wrong.
Skin in the game means whoever decides bears the consequences. Babylon's Code of Hammurabi had builders executed if …
- How a farmer locks in autumn's price back in spring.
A future is an exchange-standardised contract covering quantity, quality and delivery date. Selling the harvest before …
- How one small dent keeps costing you for years.
In German car insurance, every claim-free year moves you up a no-claims class and cuts your premium rate: from roughly …
- Insurance predicts not who is hit, only how many.
The law of large numbers says that the more often a random process repeats, the closer observed frequency sits to the …
- The insured drive more recklessly. So do banks.
Moral hazard describes how people take more risk when someone else bears the loss. With full coverage you park tighter …
- The only free lunch in investing.
Diversification means spreading money across many assets that don't fall at the same time. If a company goes bankrupt …
- The return comes from the next investor, not from a business.
In a Ponzi scheme, payouts come from new customers' deposits, not from earnings. As long as inflows beat outflows …
- Why '8% guaranteed' is always a lie.
Return is the payment for bearing risk. Safe assets like savings accounts pay little because nobody needs to reward you …
- Why sharks feel more dangerous than the water itself.
Your brain judges probability by how easily examples come to mind. Anything dramatic and in the news feels frequent. …
- Winning the auction is evidence you bid too much.
When everyone estimates the same unknown value, the optimist with the highest estimate wins. That is exactly why the …
- Your insurer has an insurer too.
Reinsurers take on parts of the risks carried by primary insurers. That cushions huge events like storms or …
- Your portfolio changes its risk on its own, without you doing anything.
Say you chose 60% stocks and 40% bonds. Stocks rise 25% over a year while bonds stay flat: you now hold 65% stocks …