Category Archives: Reading

Physiology of Meditation

A few points from article:

  • Meditation may increase default mode network (DMN) resting state functional connectivity (rsFC) with regions important in top-down executive control (dorsolateral prefrontal cortex, dlPFC) per Creswell et al
  • There is growing evidence that this inflammatory process related to depression may be influenced by psychological stress as well as organic inflammatory conditions. These findings suggest that specific influences related to traumatic stress and dissociation could be found in close relationship to increased level of cytokine IL-6 per Raboch et al

 

“On the Job With Simple As… My Research Process”

Process

  • What drives revenue?
  • Where is the industry headed?
  • How does management think of the business?
  • Competitive positioning:
    • How does the market see my target?
    • How do competitors see my target?
    • How do customers see my target?
  • Management
    • Incentives: over what horizon?
    • Decision-making: capital allocation
  • // Review
  • Financials
    • 5-7 years analysis
  • Model
    • Growth
    • Returns
    • Cost of Capital (Discount Rate / Required Return)
      • Risk: macro factors, industry/company factors

Considerations

  • Company / why market is wrong
  • Catalysts
  • Upside %
  • Downside %
  • What do you not know?

Important Factors of Consideration

  • Timing inflection points
  • Understand risk / reward scenarios
  • Determine appropriate cost of capital (required return) for the risk profile of the investment
  • How stock moves with market/macro/micro news

Link to Article: http://www.wallstreetoasis.com/forums/on-the-job-with-simple-as%E2%80%A6-my-research-process

Noise and Signal (Nassim Taleb)

Taleb argues that as you consume more data, and the ratio of noise to signal increases, the less you know about what’s going on and the more inadvertent trouble you are likely to cause.

One can see from the tonsillectomy story that access to data increases intervention —as with neuroticism. Rory Sutherland signaled to me that those with a personal doctor on staff should be particularly vulnerable to naive interventionism, hence iatrogenics; doctors need to justify their salaries and prove to themselves that they have some work ethics, something “doing nothing” doesn’t satisfy (Editor’s note: the same forces apply to leaders, managers, etc.).

Consider that every day, 6,200 persons die in the United States, many of preventable causes. But the media only reports the most anecdotal and sensational cases (hurricanes, freak incidents, small plane crashes) giving us a more and more distorted map of real risks. In an ancestral environment, the anecdote, the “interesting” is information; no longer today. Likewise, by presenting us with explanations and theories the media induces an illusion of understanding the world.

Occam’s Razor and Communication Theory

Occam’s RazorAmong competing hypotheses, the one with the fewest assumptions should be selected

Communication: The fundamental problem of communication is that of reproducing at one point, either exactly or approximately, a message selected at another point

– Claud Shannon “A Theory of Communication,” 1948

Carbohydrates, Glucose, Insulin, and Dopamine

Carbohydrates, Glucose, and Insulin

  • Carbs are consumed from sugar, bread, fruit, or vegetables
    • Carbs are digested and converted to blood glucose
    • When carbs are consumed, glucose in the bloodstream rises rapidly
    • Next, the pancreas produces a large amount of insulin to remove excess glucose
  • Insulin is the hormone responsible for body fat storage
    • Insulin takes glucose out of the bloodstream and converts it to starch called glycogen, which is stored in the liver and in muscles
    • The body can store only a limited amount of glycogen, so the excess glucose is stored as body fat

Dopamine

  • Central to the brain’s sensation of enjoyment is a chemical called dopamine, a neurotransmitter that controls the brain’s reward and pleasure centers
    • Sugar consumption stimulates a dopamine release because it is hyperpalatable, which means that it is a food that stimulates the pleasure centers in the brain
  • As with any dopamine-producing substance, the brain can become desensitized to this pleasure, leading to potential for chronic overconsumption, which enables an individual to develop a tolerance when these reward signals are triggered
    • It becomes necessary to consume more of the pleasure producing substance in pursuit of the original feeling of pleasure
  • When dopamine receptors decrease, there’s a marked decrease in the activity of the prefrontal cortex — the part of the brain responsible for planning, organizing, and making rational decisions

Key Theme:

Dopamine response is a major factor affecting rational decision making and motivation. Understanding this process enables one to understand the motivations that underly societal “norms” which are perceived as facets of culture but rather exist as psycological malladies which function in the form of addiction and irrational – usually subsersive – decsion making.

The Declaration of Principles

We, the members of Tau Kappa Epsilon Fraternity, hereby declaring our strict adherence and unswerving fidelity to what we believe to be the basic principles of true friendship, do ordain and adopt this our Declaration of Principles.

The object of this Declaration is to codify the settled convictions of this fraternity into abiding form to guide fraternal action and conduct for all time to come. And to the principles hereinafter enunciated, we individually and collectively pledge our unreserved allegiance.

Man is a social being. Our whole structure evidences the absolute interdependence of man. Reclusiveness is dwarfing to man’s best qualities. Intimate and frequent contact with our fellows is necessary to symmetrical development. As a consequence, organizations whose purpose is to promote these ends are to be fostered and encouraged.

We believe that at no other period in the life of a man is the time more opportune for the fostering of such qualities than during the years of his college career. Then mind and heart are in their most receptive condition, for it is the formative period of life.

We regard mental development as of vital importance, but of equal consequence is the acquisition of a knowledge of men and a proper conception of their relation to one another. This is not obtained from texts and lectures, but from actual and intimate intercourse with men. To promote these ends is the avowed and earnest purpose of this fraternity. Fully realizing the burdens of this duty, we enter upon its performance with the conscientious purpose of adequately meeting its demands.

We maintain that exclusiveness is the direct antithesis of a true fraternity. We condemn the un-American policies of some of the leading college fraternities of the country in their attitude of contempt to all who are without the bonds of fraternities, regardless of character, ability or personal merits. Such policies we seek to avoid, as they are destructive of the very ends of true fraternity.

We believe that a fraternity should be a brotherhood in conduct as well as in name. “Faith without works is dead.” Pledges of brotherhood not succeeded by observance in conduct are as “sounding brass and tinkling cymbal.” By the tenor of our daily action we should evidence our devotion to the principles we have solemnly obligated ourselves to observe.

The duties and obligations that subsist between the sons of the same mother should subsist between brothers in the sacred bond of this fraternity. The instinct to the observance of mutual duties that common blood supplies, must be furnished by the pledges of our ritual.

We believe that the essential elements of true brotherhood are love, charity, and esteem; love, that binds our hearts with the sturdy chords of fraternal affection; charity, that is impulsive to see virtues in a brother and slow to reprove his faults; esteem, that is respectful to the honest convictions of others and that refrains from treading upon that which is sacred to spirit and conscience; these are the triple obligations of every brother in the bond.

We believe in secretism in so far as it enables a fraternity to protect the confidence of the brotherhood. Secrecy that is promoted for selfish purposes or utilized to cloak fraternal wrong-doings we unsparingly condemn. We uphold this policy in so far as it is necessary to insure the dignity of our ritualism and the privacy of our internal affairs. As secrecy is employed to protect and perpetuate the sanctity of the family relation, so we enlist the advantage of secrecy to preserve inviolate the confidences and sanctities of the brotherhood.

Toward other fraternities we believe we should maintain an attitude of dignity and respect, recognizing their merits and studiously avoiding their evils. We believe our relation to them is, in a measure, competitive, and that we should endeavor to excel them in the fields of college activity.

We maintain that competition may become detrimental to any school. When healthy rivalry is followed by competition in which honorable methods are employed, it is a boon to the fraternity, and a benefit to the school, but when groveling and unprincipled means are employed, when school spirit and interest are subordinated to fraternal prejudice and selfishness, it becomes “a snare to the feet,” and a detriment to the fraternity and to the school. Competition in such form we condemn, and pledge every effort to avoid.

Finally, above all else, this fraternity stands for Men. We believe in their equality in those things which the Creator has decreed they should equally enjoy. We consider no man from the standpoint of those qualities and advantages he has not attained by personal effort. We stand for men whose manhood has withstood the test of trying conditions. We deem sterling character and staunch uprightness to be necessary qualifications to membership in this fraternity. All else, though desirable, is secondary to these. Tau Kappa Epsilon Declaration of Principles

Bazarov

“This capacity consciously to behave stupidly is an enviable virtue of strong and intelligent people. A dispassionate and dried-up person always acts according to logical calculations; a timid and weak person tries to deceive himself with sophistry and assure himself of the rightness of his desires and actions; but Bazarov has no need for such trickery; he says to himself straightforwardly: “This is stupid, but nevertheless, I will do what I want, and I do not want to torment myself over it. When it becomes necessary I will have the time and strength to do what I must.” A wholehearted, strong nature is manifested in this capacity to become completely carried away: A healthy, incorruptible mind is expressed in this capability to recognize as folly the passion which has consumed the whole organism.”

— Dmitri Pisarev, Bazarov

Kennedy

“During his presidential campaign in 1968, Senator Robert F. Kennedy quoted the Edith Hamilton translation of Aeschylus on the night of the assassination of Martin Luther King, Jr. Kennedy was notified of King’s murder before a campaign stop in Indianapolis, Indiana and was warned not to attend the event due to fears of rioting from the mostly African-American crowd. Kennedy insisted on attending and delivered an impromptu speech that delivered news of King’s death to the crowd. Acknowledging the audience’s emotions, Kennedy referred to his own grief at the murder of his brother, President John F. Kennedy and, quoting a passage from the play Agamemnon, said: “My favorite poet was Aeschylus. He once wrote: ‘Even in our sleep, pain which cannot forget falls drop by drop upon the heart, until in our own despair, against our will, comes wisdom through the awful grace of God.’ What we need in the United States is not division; what we need in the United States is not hatred; what we need in the United States is not violence or lawlessness; but love and wisdom, and compassion toward one another, and a feeling of justice toward those who still suffer within our country, whether they be white or they be black… Let us dedicate ourselves to what the Greeks wrote so many years ago: to tame the savageness of man and make gentle the life of this world.