I learn yesterday from an awesome friend of mine about this concept of Decision Tracker. The New Orleans 2018 Investment Conference was almost over and I have a decision to make: To Invest or not to invest in Oil. Other than greed, is there anything else that fuel my decision? What if i am wrong?
I realized that i made both good and bad decision in the past and each time I feel different. I will now start to log the surrounding, the evidence, and my emotion and review it later to see if it is really a good decision or not. On this blog – So here it goes.
What this decision planned or prepare more than one month: No
Decision to be make: To invest or not invest in oil:
Greed Motivation: to 2x or 3x your money in less than 1 year, don’t want to miss out,
Fear Factor: Loosing all of your original Investment
Logical Sense: to offset earn income and capital gain tax of 2018
Why do you want to make this decision: Curiosity, Greed, the urge to get richer, want to prove myself, want to build relationship and establish myself in the market place.
Describe the surrounding: Very supportive surrounding. Lots of smart investor around. Some already in the deal. One proven result but different project
Anyone pushing you to make the decision: NO
What will you do with the money if everything work out: leave 1/3 in the fund for future project, get 2/3, save 1/3 into saving account for now, and reinvest the 1/3 somewhere else
What will you do if shit hit the fan: 1. find way get together with other investors sue the operator if he is fraud and put him in jail. 2. If it is a dry hole, accept the risk and take the tax deduction.
Have you done your due diligence: Yes
How do you feel: good, excited, mix with a little fear, very similar feeling when you bought your 1st investment house.
What is some reason to say NO to this deal: Nothing as of yet.
What are the major risk: hit a dry hole, operational risk (shit blow up like the movie), fraud, market,
Describe some way to mitigate that risk:Only invest in project that is PUD (Proven Under Develop), Ask for reference list, check with people that is invested, run background check? Pay attention to the macro economy of oil
Is this a life changing investment: NO
What could make it a life changing investment: putting all my cash into this project and if it 3x. I ll be a millionaire
Why don’t you do it then? Fear of lose it all
Were you rushing to make the decision: I was, but after write everything down like this. Not anymore
Is the feature image related to the content of the blog? NO
What is for then? To make you click and read this non-sense