• Home
  • About Us
    • Who we are?
    • Why choose us?
    • What have we achived?
    • What our students says?
    • Alumni Members
  • Programmes
    • CMA Programmes
      • About ICMA
      • Graduate Conversion Program
      • CMA Workshop – Accountancy Qualification
      • CMA Workshop – CGBA
    • Chartered Institute of Securities & Investments
      • About CISI
      • International Introduction to Investment
      • Risk in Financial Services
      • Wealth & Investment Management
      • Global Financial Compliance
    • Institute of Internal Auditors (IIA)
      • About IIA
      • Certified internal auditor (CIA)
  • Training
    • Quantum Leap
      • Finance and Accounting
      • Personal Wealth Management
      • Sales and Marketing Skills
      • Customer Care Training
  • Resources
    • The Climate Reality Project
    • Blog Feed – Academy of Finance
    • Webinars – Academy of Finance
    • Inductions – Academy of Finance
    • General Videos & Announcements
    • CMA – On Target Issues
    • Digital News Feed
  • Gallery
  • Contact
    • Student Portal
Academy of Finance
  • Home
  • About Us
    • Who we are?
    • Why choose us?
    • What have we achived?
    • What our students says?
    • Alumni Members
  • Programmes
    • CMA Programmes
      • About ICMA
      • Graduate Conversion Program
      • CMA Workshop – Accountancy Qualification
      • CMA Workshop – CGBA
    • Chartered Institute of Securities & Investments
      • About CISI
      • International Introduction to Investment
      • Risk in Financial Services
      • Wealth & Investment Management
      • Global Financial Compliance
    • Institute of Internal Auditors (IIA)
      • About IIA
      • Certified internal auditor (CIA)
  • Training
    • Quantum Leap
      • Finance and Accounting
      • Personal Wealth Management
      • Sales and Marketing Skills
      • Customer Care Training
  • Resources
    • The Climate Reality Project
    • Blog Feed – Academy of Finance
    • Webinars – Academy of Finance
    • Inductions – Academy of Finance
    • General Videos & Announcements
    • CMA – On Target Issues
    • Digital News Feed
  • Gallery
  • Contact
  • Student Portal

Blog

  • Home
  • Blog
  • Blog
  • Genius’s Limits Investment

Genius’s Limits Investment

(I can calculate the motions of the heavenly bodies, but not the madness of the people)

Success accrues not so much to the brilliant as to the disciplined. —William Bernstein

Isaac Newton advanced science and thinking like few others ever have. With an IQ of 190, and the ability to calculate to the 55th decimal by hand, his intellect towered above Charles Darwin and Stephen Hawking. But powerful as his brain was, it was unable to save him from falling prey to our most basic human instincts, namely, greed and envy.

In 1720, as shares of the South Sea Company began to rise and hysteria swept the streets of London, Newton found himself in a precarious situation. He bought and sold the stock, earning a 100% return on his investment. Except shares of the South Sea Company rose eightfold in under six months, and they did not stop going higher just because he decided to collect his profits. Unable to cope with the feelings of regret, Newton jumped back into the stock with three times the amount of his original purchase. He re-entered as shares approached their apex and instead of doubling his money, he would lose nearly all of it. When the bubble burst, it took just four weeks for prices to plummet 75%.

This left Newton despondent, and it is said that he could not stand to hear the words “South Sea” for the rest of his life. He got an expensive lesson in just how far intelligence goes when attempting to turn money into even more money. When asked about the direction of the markets, Newton replied, “I can calculate the motions of the heavenly bodies, but not the madness of the people.” Isaac Newton actually was one of the smartest people to ever walk the earth, and not even he was able to resist the sight of other people getting rich without him.

  • Share:
author avatar
academy_36a4wv

Previous post

Mark Twain - Don't Get Attached
October 18, 2020

Next post

Stay in Your Lane
October 18, 2020

Leave A Reply Cancel reply

Your email address will not be published. Required fields are marked *

Upcoming Classes

ICMA - Graduate Conversion Programme
CISI - Global Financial Compliance
ACADEMY - BLOG FEED

stay tuned with us

CMA Workshop 2022
11Jan2023
CMA Graduation 2022 – Graduates’ Celebration
13Dec2022
CMA Graduation 2022 – The Welcome
13Dec2022
CMA Graduation 2022 – Inauguration
13Dec2022
View all Articles
ACADEMY - INDUCTIONS

stay tuned with us

ICMA Graduate Conversion Programme: Batch 33
ICMA Graduate Conversion Programme: Batch 33
31Jan2023
CISI Risk in Financial Services: Batch 13
CISI Risk in Financial Services: Batch 13
25Nov2022
CISI International Wealth & Investment Management: Batch 5
CISI International Wealth & Investment Management: Batch 5
05Oct2022
IIA Certified Internal Auditor
IIA Certified Internal Auditor
09Sep2022
View Inductions
ACADEMY - WEBINAR FEED

stay tuned with us

What’s New in Sustainability Reporting Standards
What’s New in Sustainability Reporting Standards
12Jul2022
Circular economy – The role of management accountants
Circular economy – The role of management accountants
24Mar2022
Leveraging LinkedIn as a Professional
Leveraging LinkedIn as a Professional
13Jan2022
Developing a Fraud Risk Management Program during a Prolonged Crisis
Developing a Fraud Risk Management Program during a Prolonged Crisis
25Oct2021
View Webinars/Buzz Talks
quantumleap-programmes (6)

Finance and Accounting

.
VIEW PROGRAMMES
quantumleap-programmes (3)

Personal Wealth Management

.
VIEW PROGRAMMES
quantumleap-programmes (2)

Sales and Marketing Skills

.
VIEW PROGRAMMES
quantumleap-programmes (8)

Customer Care Training

.
VIEW PROGRAMMES
+94 11 259 1122 +94 772 840 850
5th Floor, No.403-5/1, Galle Road, Colombo 03.
info@academy.lkcma@academy.lk
Daily: 9:00 AM – 6:00 PMSunday & Holidays: Closed

All Rights Reserved by Academy. Designed by Pawara Concepst.