Cockroach Theory for markets, investing and life

cockroach theory portfolio

Cockroach theory – are you kidding me?

What comes to your mind when I say ‘Cockroach’? A slimy, dirty, ugly creature that you want to stay as far as possible from. And yet, much to our irritation, it appears just about everywhere.

Do you know that a cockroach can survive a nuclear attack? Yes, a nuclear attack!

The ‘keeda‘ or cockroach has amazing resilience. It can go without air for close to an hour, withstand freezing temperatures and survive underwater for half an hour.

No wonder, these special features have given rise to a cockroach theory and become an inspiration for a cockroach portfolio.

Let’s see how the cockroach theory gets applied to markets, investing and life.

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Happy Deepawali – Let your light shine!

A few years ago, when I was on a road trip, my first stop was at Gandhinagar, Gujarat’s capital city. In the evening, since I had nothing to do, I strolled into the famous Akshardham temple.

I came to know of a sound and light show that was going to happen late in the evening. I bought the tickets. I had absolutely no idea what I was going to witness. It was one of the most spectacular sound and light shows I had ever seen. It is also known as the world’s first spiritual show of the kind.

sound, light, laser show at akshardham temple gandhinagarThe show is based on the story of a conversation between Yama (the Hindu God of Death) and Nachiketa (a young boy). Nachiketa waited for 3 days at the doors of Yama, since he was out for work. When he returned, he wanted to compensate for the young boy’s wait. So Yama told Nachiketa to ask for 3 boons.

The first two were easy.

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The Secret Power of 3

power of 3

Kitne aadmi the” is one of the most memorable lines of the Indian movie industry. Gabbar Singh, the evil villain from the classic movie Sholay, rolls it off his tongue when his 3 men return empty handed from a loot campaign.

Let’s take another one – Veni, Vidi, Vici or I came, I saw, I conquered. I am quite sure that you have come across this one too. This was Julius Caesar.

Do you see anything common in the two statements? I dropped a hint very early, if you noticed.

Well, both are ‘memorable‘ and both have ‘3 words‘. Isn’t that interesting?

Can you recall any other which has a structure of ‘three‘ – 3 words, 3 parts, 3 rules?

It’s not difficult. I would say, it’s as simple as ABC or 123.

You get the direction, right? See, if you can think of a couple of them.

What power does 3 have?

Somehow 3 is that magic number that our brain can focus attention on and absorb in. Not 2, not 4 but 3.

Come to think of it, it’s been there, forever. The most memorable and actionable ideas are no more than 3 words long. I would say 3 is the ultimate brain hack. And we will know why?

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Money – a poem

time, love, money

The idea of ‘money’ is a tantalising one. We don’t know exactly when it originated but now it has come to acquire its own place in our lives. 15 years ago, as a fresh graduate, I was wondering about the meaning of money in my life. They were the years, when I was still financially dependent and a decently … Read more

It is time to revisit the 7 Habits

The 7 Habits of Highly Effective People

I read the 7 Habits of Highly Effective People, for the first time, in the year 1999. Since, then once in a year, I end up revisiting the text and refresh my learning. Once when I was to buy the Amazon Kindle ebook version, Amazon was kind enough to offer it to me for free. The landmark book, written … Read more