Leverage exaggerates both the ups and the downs. Risky in investments because some larger than expected downside can result in you losing everything or not being able to easily recover. Loss percentages are asymmetric. Technology is also a lever. Optimistically, it can make a lot of things more efficient, etc.
leverage
leverage
leverage
Leverage exaggerates both the ups and the downs. Risky in investments because some larger than expected downside can result in you losing everything or not being able to easily recover. Loss percentages are asymmetric. Technology is also a lever. Optimistically, it can make a lot of things more efficient, etc.