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Leverage

To understand leverage in finance, imagine that one day you receive a machine with the following property:

When you insert €100 on one side, a year later, €130 comes out the other.

If you're rational (and greedy), your first instinct should be to try to insert as much money as possible.

To the point where it would even be profitable to go borrow from your friends, from the bank, wherever you can, and put everything into the machine...

On one condition (and it's an important condition): that the borrowing rate is lower than the rate of return. In other words, it's only worthwhile if the bank charges you less than €30 in interest.

This simplified model represents how financiers view companies.

They don't care about the internal workings, only the financial return. And if the latter is higher than the borrowing rate, then it's worth borrowing to invest.

And for me... it's the same thing with meditation.

I realized one day that the rate of return of meditation on my well-being was much higher than expected.

So, it was worth borrowing time from my other activities (which had a lower return) to invest it in presence and clarity.

It was quite a radical decision at the time.

I don't regret it.

8/12/25 society presence

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