Economic cycles are healthy

In boom times capital (people and money) flow to high risk high return investments and create innovation.

In contractions a bunch of those companies who couldn’t cut it die off and the strong ones stick around and gobble up the weak ones with good talent and technology. This is natural, healthy and needs to happen for another 8-12 months.

Expand , contract, expand, contract.

This is how it works.

Hopefully the lesson learned is;

1. don’t mess around with options, they are a tool used for hedging positions, not for playing roulette.

2. Buy good companies. You’re not a vc you don’t have enough capital or deal flow to make 100 diversified high risk bets at good valuations, so don’t even try.