16 June Pension-Fund Capitalism (..."prudent man rule.")

[Paul Terlemezian]

The safest place for your money has been to put it in the bank. It's the prudent thing to do. The capital is preserved and the interest rate floats with inflation (sort of.)

 

We are taught to invest our money with a strategy that takes into consideration our age, our earning power and desired lifestyle. And, in general - the older we get the more prudent we get with our investments since we are dependent on the capital to earn the income for our living.

 

What about our learning? Our ability to apply previous experience has created value over the years and we are reluctant to change our ways. After all, our experience has helped us in the past - hasn't it? What we forget is how we got the experience and how we created new value. We tried things that we had not done before and we learned new ways.

 

A wonderful experience to utilize is the ability to continue to adapt and learn as we approach situations we have never been in before. How can training prepare our learners to be sure to apply the effective learning as opposed to be sure to apply the "way we've always done it?: