During Trump's tenure in the United States, Schwarzman served as chairman of the Strategic and Policy Forum. At an economic forum, Schwarzman was asked, "Mr. Schwarzman, is there any secret to how you went from $400,000 to more than $1 trillion now?" He said, "It's my crazy obsession:."No—to—lose—money”！Looking at the questioner's disbelieving expression, he calmly replied with a smile to show that he was speaking from his heart.
In ancient and modern times, at home and abroad, all the people who have achieved fame and fame at the end of the laugh are all people who take "don't lose money" as their concept and bottom line. Of course, "don't lose money" does not mean that people are calculating, they must be compared, and they are not willing to pay. Sometimes sacrificing small interests in the immediate for the sake of big profits in the future, or temporarily sacrificing partial interests for the sake of overall profits, is also a manifestation of the implementation of the concept of "don't lose money". That is, the "Tao Te Ching" "will take what you want, you must give it first". A generation of great men summed up their magic weapon for winning the war into one sentence: "If you win, you will fight, and if you can't win, you will leave." This is the truest embodiment of the concept of "don't lose money" in war. Using the simplest truth to guide the greatest cause is the common characteristic of heroes. It is said that during the War of Resistance Against Japanese Aggression, ** asked a comrade in charge of propaganda work. What is politics? That comrade quoted scriptures and explained the concept, principle, connotation, and extension of politics. Say, "It's not that complicated. Politics is that I come up, you go down! He asked again what propaganda was. The comrade also talked about the role and methods of propaganda. He said; "Propaganda is to say that you are good and that the other person is bad. He asked what war was. That comrade talked endlessly for a long time, from Clausewitz's "On War" in Germany, to China's "Art of War," to our army's strategy and tactics. ** Said with a smile: "Is it a war, in fact, it is very simple, that is, if you win, you will fight, and if you can't win, you will leave." Make money, don't do it. Therefore, we only fight wars of annihilation, not wars of attrition. ”
On the eve of the founding of the People's Republic of China, some democrats asked what was the foreign policy of New China. **Answer: "Start anew." Clean the house before treating. That is to say, it does not recognize all unequal treaties signed by the Qing Dynasty with foreign countries, nor does it continue the diplomatic relations between the Kuomintang and other countries. Everything goes back to zero and starts all over again.
In 1962, before launching a self-defense counterattack against India, he said, I thought about it for ten days and ten nights, but I didn't understand why India dared to attack us. Because India did not have the bottom-line thinking of "don't lose money" before sending troops to invade our borders, it did things that were hot-headed and profitable. Of course, in the end, it was defeated by our army and defeated.
In the same way, if you make investment transactions with the bottom line of "don't lose money", you must minimize the risk. To minimize risks, it is necessary to see the risks in advance and come up with paths, methods and strategies to avoid or deal with them. To recognize risks in advance, it is necessary to have a group of talents with knowledge, insight, experience, wide information, broad thinking, and many methods. It is also necessary to have a complete set of scientific decision-making mechanisms, incentive mechanisms, and supervision and guarantee mechanisms. To this end, Schwarzman has always spared no expense in recruiting the best talent. In 2018, they wanted to recruit 86 junior investment analysts, but received 14,906 applications to apply for the exam. The acceptance rate is only 06%。He said: "Now let me apply to work at Blackstone, I don't think I will be able to admit it!" From the lessons learned from the loss of money in the acquisition of Edcomb Steel Company in the early days of the company's establishment, he found out the mistakes in decision-making and people, so he changed the individual decision-making mechanism of "subordinates report the transaction plan and the leader approves" to a decision-making mechanism of "full participation, repeated research, and collective decision". Because he has gathered a lot of top-notch talents in economics, finance, investment, management, etc., coupled with his ability to quickly identify people, collect information, raise funds and transactions, etc., so for each transaction, they can accurately estimate the various risks related to it, and formulate a practical plan. And can basically accurately determine the minimum profit. So as to become the world's biggest winner in the most risky investment field.
If you take "don't lose money" as the bottom line, you won't make a big mistake. Fan Li in the Spring and Autumn Period, Zhang Liang in the early Han Dynasty, Guo Ziyi in the Tang Dynasty, Chen Tingjing in the Qing Dynasty, Zeng Guofan and others in the Qing Dynasty were all smart people who adhered to the bottom line of life and were good at protecting themselves. Like Li Si, Huo Guang, Zhang Juzheng, Dolgon, Ao Bai and others, it is because they did not take "don't lose money" as the bottom line, but they are insatiable, attached to power, and just want to win as much as possible, but they don't know that things will be reversed, and in the end they lose their families. Holding this concept of life, on the surface, it seems to be a bit conservative, and the sense of pioneering and enterprising is insufficient, but in fact, it is not. You can understand yourself and the environment objectively and practically, know how many catties and taels you have, understand the characteristics of the times, the level of the platform, the quality of the environment, what is suitable for what you are suitable for, and what you are not suitable for. You won't take risks emotionally and impulsively, and you won't make friends with people who are useless to you, so you won't suffer big losses, fall for big mistakes, and make big mistakes.
If you do things with "don't lose money" as the bottom line, you won't lose badly. Think about both good and bad outcomes before you do something. We must not only be full of confidence in success, but also use practical actions to realize a beautiful vision; It is also important to think clearly about the disadvantages and envision what to do if there is a bad outcome. If you do things in this way, there will generally be no subversive mistakes. In other words, if the worst happens, can you bear it, can you solve it, and can you continue to move on. Whether you want to invest in business, or want to buy, and other financial management, if your money is wasted, can you afford it, and how can you avoid it. If you think about these problems and do things rationally, prudently, and in a down-to-earth manner, although there is no guarantee that you will succeed, even if there are setbacks, you will not lose in a mess.