The One Percent Show with Vishal Khandelwal - Ep. 1 - Manish Chokhani

Introduction

In this section, Vishal Khandelwal introduces the One Person Podcast and his guest, Manish Chokhani.

Introducing the One Person Podcast

• Vishal Khandelwal welcomes listeners to the One Person Podcast.

• He introduces Manish Chokhani as his guest for the episode.

• Vishal provides some background information on Manish and his accomplishments.

• He expresses gratitude for Manish's contribution to his book and for being the first guest on the podcast.

What Drives Manish Chokhani?

In this section, Vishal asks Manish about what drives him in life.

Finding Purpose Through Growth

• Vishal asks Manish what drives him to jump out of bed every morning.

• Manish explains that he is driven by a desire for growth at both an outer level (widening focus on globalization and technology) and an inner level (sharpening focus to find true purpose in life).

The Power of Meditation

In this section, Vishal asks Manish about his experience with meditation.

Vipassana Meditation

• Vishal asks about Manish's experience with vipassana meditation.

• Manish explains that vipassana is a form of meditation focused on pure concentration, originally practiced by Buddha.

• He describes how through vipassana meditation one can examine their own memories and aspirations embedded within themselves.

Maintaining Equanimity in Investing

In this section, the speaker discusses how practicing meditation can help maintain equanimity while investing and making decisions amidst noise and hype.

Practicing Equanimity

• Practicing meditation helps to look at the world with equanimity.

• Believing that "this too shall pass" helps to maintain a sense of equanimity.

• Staying present in the moment rather than worrying about external factors is key to maintaining equanimity.

Meditation as a Tool for Concentration

In this section, the speaker talks about how meditation can be used as a tool for concentration in any activity, including investing.

Benefits of Meditation

• Meditation helps to stay concentrated all the time.

• Achieving a meditative state can also be done through other activities such as singing or any act that requires focus.

• The practice of meditation makes it easier to stay concentrated and focused on tasks.

Early Days as an Investor

In this section, the speaker talks about his background and how he got into investing.

Background

• The speaker comes from a business family where his father ran a paper business and flexible packaging company.

• He studied CA and MBA to learn the toolkit and broaden his horizons for decision-making.

• While interning at LBS, he worked for a buyout fund bidding for a packaging company which resonated with him more than making widgets for life.

Multi-disciplinary Thinking in Decision Making

In this section, the speaker talks about multi-disciplinary thinking in decision-making.

Importance of Multi-disciplinary Thinking

• The speaker's father encouraged him to have an open mind and multi-disciplinary thinking.

• Multi-disciplinary thinking helps in decision-making by providing a larger canvas to work with.

• The speaker was introduced to Manipal through his father's friend, which helped broaden his horizons.

Entrepreneurial Mindset in Investing

In this section, the speaker talks about how having an entrepreneurial mindset can be beneficial in the investing world. He explains that as an investor, one has the option to look at various management teams and have as much ownership of a business as they like.

Benefits of Having an Entrepreneurial Mindset in Investing

• As an investor, you have ownership but may not have control over a business opportunity.

• Being an investor allows for exposure to various businesses and learning opportunities.

• A better businessman is a better investor and vice versa.

• The speaker enjoys being an investor every day because it resonates with his true nature.

Investor as Businessman and Decision Maker

In this section, the speaker discusses how being an investor is not that different from being a businessman or decision maker. He explains that at the peak of a company, one is essentially making capital allocation decisions and using people judgment when hiring or dealing with customers.

Similarities Between Being an Investor and Businessman/Decision Maker

• A better businessman is a better investor and vice versa.

• The speaker enjoys being an investor every day because it resonates with his true nature.

• At the peak of a company, one makes capital allocation decisions and uses people judgment when hiring or dealing with customers.

Finding One's True Nature in Investing

In this section, the speaker talks about how investing resonated with his true nature early on in life. He compares it to how someone may admire a cricketer or movie star but it's not for them because it doesn't resonate with their inner sound.

Finding One's True Nature in Investing

• The speaker enjoys being an investor every day because it resonates with his true nature.

• Investing is something that resonated with the speaker early on in life and he continues to enjoy it every day.

Learning Styles of Different Investors

In this section, the speaker talks about how his investing style has evolved over time. He mentions reading books by John Train and finding the style that works for him. He also notes that following one particular style may not work forever as things evolve.

Evolving Investing Style

• Following one particular investing style may not work forever as things evolve.

• The speaker found the investing style that works for him by reading books by John Train and other investors.

Understanding Cycles in Markets, Economy and Geopolitics

In this section, the speaker talks about the importance of understanding cycles in markets, economy and geopolitics. He emphasizes that combining these with an understanding of one's business can lead to better decision-making. Additionally, he stresses the importance of having a better judgment of human beings and psychology.

Key Points:

• Everything in nature is a cycle.

• Combining knowledge of market cycles, economic cycles, geopolitical cycles and one's own business can lead to better decision-making.

• Having a better judgment of human behavior and psychology is crucial for success in investing.

• It is important for an investment to resonate with oneself or be within one's circle of competence.

Learning Period as an Investor

In this section, the speaker talks about his learning period as an investor. He discusses how his early experiences during bull market tops taught him valuable lessons about emotions and tested his knowledge. Additionally, he mentions how periods like the dot-com bubble helped change his thinking completely.

Key Points:

• The speaker's biggest period of learning came early on in 1991 before the Harshad Mehta scam when things were going crazy.

• Bull market tops are great teachers because they test your emotions along with whatever you have read.

• During the dot-com bubble in 2000, knowing when to exit was crucial for success as many companies were trading at high multiples.

Investing for Terminal Value

In this section, the speaker talks about how investing is about terminal value and how it requires a different mindset. He also discusses his experience with learning during sharp periods of change.

Investing for Terminal Value

• Investing is about terminal value.

• Many things we invest in won't be around 10 years from now.

• This requires a different mindset than other businesses.

• There were two or three periods of sharp learning for the speaker.

Coping with Change

• The speaker did his first vipassana program in 2000, which helped him cope with the madness going on at that time.

• The crisis in 2007 was another period of change that he had to cope with.

Importance of Learning Exponentially

In this section, the speaker talks about Singularity University and its importance. He also discusses India's need to catch up with America and China in terms of technological advancements.

Singularity University

• The speaker attended an intense week-long program at Singularity University with Peter Diamandis.

• He recommends the course to others and has made presentations to friends in fund houses to share his learnings.

Catching Up Technologically

• India needs more companies, entrepreneurs, and an ecosystem that can keep up with technological advancements happening globally.

• While India is tech-savvy, it tends to be just a service provider rather than being at the forefront of what's coming next.

• The country needs an exponential mindset to keep up with changing times.

Building an Exponential Mindset

In this section, the speaker gives advice on building an exponential mindset. He emphasizes having good sangath (circle of friends), ethics, integrity, trying new things until the age of 30, and continuous learning.

Building an Exponential Mindset

• Have a good sangath (circle of friends) that shapes your personality.

• Don't compromise on ethics and integrity.

• Try new things until the age of 30.

• Continuous learning is essential to keep up with changing times.

Investing and Life Lessons

In this section, the speaker talks about how investing and life lessons are interconnected. He emphasizes the importance of finding a good mentor and not just chasing brand companies.

Finding a Good Mentor

• The speaker suggests that finding a good mentor is crucial for shaping one's personality and work ethic.

• He advises against chasing brand companies or buying blue-chip stocks without considering the leadership behind them.

• The speaker uses a metaphor to explain that being part of creating success is more important than joining someone else's successful bandwagon.

Thinking Beyond India

• The speaker encourages Indians to think beyond India as an economy and instead consider the world as an economy.

• He explains that India becoming the third-largest economy in the next 10 years will require doing things differently from what got us here.

• The speaker urges people to think "blue ocean" and not just focus on market share in India.

Interconnectedness of the World

In this section, the speaker talks about how businesses around the world can impact individuals' investing attitudes, outlook, and decision-making.

Impact of Global Businesses

• The speaker emphasizes that people need to realize how businesses in America, Korea, Taiwan, etc., can come and impact them over here.

• He warns against projecting oneself as a leader without considering whether their actions align with what's happening in the world or country.

• The speaker stresses that people need to be part of the tidal wave by being aware of what's happening in the world and how it affects them.

Post-COVID World

In this section, the speaker talks about how COVID-19 has affected decision-making and resilience.

Stress Testing Everything

• The speaker explains that COVID-19 stress-tested everything, from relationships to processes of conducting business.

• He gives examples of how buying and selling stocks, running factories, getting students back into class, etc., all required a focus on stress testing.

Value of Resilience

• The speaker emphasizes that the post-1990 globalized world had become optimized for just-in-time delivery and supply chains.

• He explains that COVID-19 made people realize the value of resilience in optimizing supply chains and balance sheets.

The Importance of Technology and Investments in Biologic Research

In this section, the speaker discusses how technology and investments in biologic research have played a crucial role in our lives today.

Technology Advancements

• Without Wi-Fi, 4G, and Zoom, the world would not have been able to carry on.

• The investments made in biologic research have led to the development of vaccines that we see today.

The Purpose of Life Beyond Money, Fame, and Power

In this section, the speaker talks about how family matters, health matters, air matters, space matters more than money or power.

What Matters Most

• Relationships matter the most.

• Laughter matters the most.

• Inner peace is what really counts.

Gratitude Towards Life During COVID Times

In this section, the speaker expresses gratitude towards life during COVID times.

Gratitude Amidst Horror Stories

• It's a period of great satisfaction to know that life is carrying on well.

• Fills you with even more gratitude towards what the universe has given you.

Real Learning: Capacity to Think Clearly Without Illusions or Prior Beliefs

In this section, the speaker talks about real learning and its importance beyond mere cultivation of memory or accumulation of knowledge.

Real Learning

• Real learning is not just about cultivating memory or accumulating knowledge.

• It's about thinking clearly without illusions or prior beliefs.

Nature Cycles and Personality Shaping

In this section, the speaker discusses how nature cycles and personality shaping are important factors for deep thinking.

Factors for Deep Thinking

• Having the right people around you is crucial.

• Being in sync with nature cycles and personality shaping is important.

Target Plan Execute and Review

In this section, the speaker talks about the importance of having a target plan, executing it, and reviewing it.

Importance of Having a Target Plan

• Knowing what you're shooting for is important.

• Being in alignment with trends helps to hit the goal.

The Five Essential Blocks for Success

In this section, the speaker discusses the five essential blocks for success and how they can be applied in various fields.

Framework, Execution, Review

• Having a framework for your life is important to achieve success.

• Executing to that plan is crucial.

• Reviewing that plan is essential to see what worked and what didn't work.

Margin of Safety or Resilience

• Having a buffer or margin of safety is important.

• It's important to have a mental construct of what not to do as it narrows down and sharpens focus.

Discipline

• Sticking to defined parameters of discipline is crucial.

• Breaking one's own defined parameters of discipline leads to mistakes.

Inversion

• Inversion is critical as a decision-maker.

• Looking at life from an inverted point of view can be difficult but necessary.

Do Not Double Count

• Don't double count good management, business, etc. with price.

How To Be Miserable in Life

In this section, the speaker talks about how people can make decisions that can kill them and how they can avoid them.

Swat Dharma

• Everyone has their own swat dharma which they need to be true to.

No-go Areas

• What may be miserable for one person may be joyful for another.

Conclusion

The speaker discussed the five essential blocks for success: framework, execution, review, margin of safety or resilience, discipline, inversion and not double counting. He also talked about how people can make decisions that can kill them and how they can avoid them by being true to their own swat dharma and identifying their no-go areas.

Advice for Youngsters

In this section, the speaker gives advice to young people on what they should avoid doing in life.

What Not to Do

• Chase money, fame, and power without considering their purpose in life.

• Overload themselves with stress by taking on too much work or not having a margin of safety.

• Compromise their health by eating too much or not working at a reasonable pace.

What to Do Instead

• Determine what is enough for them and have a sense of their goals.

• Focus on building relationships and making an impact that will be remembered after they are gone.

• Strive for balance in all aspects of life, including work, fun, family, business, investing, lifestyle, and health.

Building Goodwill and Multidisciplinary Thinking

In this section, the speaker talks about the importance of building goodwill and multidisciplinary thinking. He shares his personal experiences and insights on these topics.

Importance of Goodwill

• Goodwill is something that can never be measured but it can be built constantly every day.

• Compounding goodwill is important as it helps to create a positive impact in life.

• The purpose of life is not just to achieve goals but also to enjoy the journey and improve oneself every day.

Multidisciplinary Thinking

• Multidisciplinary thinking is the best education anyone can have.

• Philosophical bent of life, finding the purpose of life in swadharma, being in sync with nature are some things that have helped the speaker personally.

• Alignment and sinkage between one's true nature and the universe is crucial for success in any field.

• Everything in life is cyclical, there is no linearity in nature. It's important to understand this fact and not try to rush growth or progress.

Evolution Takes Time

In this section, the speaker talks about how evolution takes time and why it's important to understand this fact.

Understanding Evolution

• Evolution takes time like a baby takes nine months to produce. Rushing growth or progress goes against nature.

• There are phases where evolution becomes exponential but it still takes time for someone or something to grow.

Delayed Gratification

In this section, the speaker talks about the importance of delayed gratification and finding a balance between living in the present and taking care of the future.

Delayed Gratification

• Delayed gratification is important but it's also important to strike a balance between living in the present and taking care of the future.

• It's crucial to find a middle ground between these two extremes.

Practicing Detachment in Pursuit of Wealth Creation

In this section, the speaker discusses how to practice detachment while living in a material world and pursuing wealth creation.

Detachment as an Investor

• The pressure of pursuing wealth creation can hinder one's ability to enjoy the process.

• Practicing detachment involves removing oneself from the pressure of achieving a specific outcome and enjoying the process instead.

• Objectivity is key when practicing detachment. One must be able to assess each situation objectively and make decisions accordingly.

• Using cricket as a metaphor, one must play each ball on merit rather than focusing on achieving a specific goal.

Defining Success

• Success is defined as achieving a goal that is in line with one's nature and swadharm (duty).

• Success is not solely based on outward manifestations such as winning an election or achieving high marks. It also involves excellence in one's chosen field.

• True success involves changing the rules of the game and creating something new rather than simply playing by someone else's script.

What Does Success Mean?

In this section, the speaker defines success and explains what it means to him personally.

Outward Manifestations of Success

• Outward manifestations of success include achieving goals that are in line with one's nature and swadharm (duty).

• Examples include winning an election or achieving high marks.

Personal Definition of Success

• True success involves changing the rules of the game and creating something new rather than simply playing by someone else's script.

• Examples include Warren Buffet, Steve Jobs, and Elon Musk who have changed the rules of their respective fields.

Pursuing Success vs Enjoying the Journey

In this section, the speaker talks about how pursuing success is not helpful as a mindset. Instead, enjoying the journey of creation may lead to success and at least provide satisfaction that one did their best.

Pursuing Success

• Pursuing success is not helpful as a mindset.

• Enjoying the journey of creation may lead to success.

• Satisfaction comes from doing one's best.

What is Happiness?

In this section, the speaker discusses what happiness means to him. He believes that happiness is easy when reality is better than expectation. The problem arises when people put too much pressure on themselves or others with high expectations.

Definition of Happiness

• Happiness is easy when reality exceeds expectation.

• High expectations can lead to unhappiness.

Finding Equanimity for Happiness

In this section, the speaker explains how finding equanimity can lead to happiness. By accepting that nothing is permanent and enjoying the present moment, one can find happiness in any activity.

Finding Equanimity

• Accepting impermanence leads to equanimity.

• Equanimity leads to blissful state of mind.

• Blissful state of mind leads to happiness in any activity.

Sensations and Reality

In this section, the speaker talks about how sensations are not equivalent to happiness. Reality exists in the present moment and being happy requires acceptance of impermanence.

Sensations vs Reality

• Sensations are not equivalent to happiness.

• Reality exists in the present moment.

• Being happy requires acceptance of impermanence.

Vipassana Meditation

In this section, the speaker talks about his experience with Vipassana meditation. He explains that it involves removing layers from the body, mind, and spirit to examine thoughts and emotions.

Vipassana Meditation

• Removes layers from body, mind, and spirit.

• Examines thoughts and emotions.

Spirituality and Technology

In this section, the speaker discusses how spirituality and technology are coming together. He suggests that we may be living in a matrix-like world where everything is gamified.

Spirituality and Technology

• Spirituality and technology are coming together.

• We may be living in a matrix-like world where everything is gamified.

The Purpose and Journey of Life

In this section, the speaker talks about the purpose and journey of life. He uses the metaphor of a raindrop becoming part of a river, which then flows into the sea and becomes a cloud again to explain how we are all part of a grander cycle of life.

Life as Evolution

• Our lives are like evolution, where we become part of a grander cycle of life.

• The purpose and journey of life is to understand how we are part of this grander cycle.

• We have choices along the way, but ultimately we will end up in the sea, which is nature's design.

Being Part of Nature's Design

• We are designed to evolve and get closer to what the speaker calls "the sea."

• As we grow older, our focus shifts from ourselves to our partner, children, organization, society, country, world and universe.

• We need to be in sync with nature's flow and not try to go against it by pursuing money, fame or power.

Finding Your Purpose

In this section, the speaker talks about finding your purpose in life. He emphasizes that it is important to find what you're good at and enjoy doing while being an adventurer who explores new things.

Discovering Your Purpose

• The purpose of life is not money or fame but finding your resonance with nature.

• If you can find what you're good at and enjoy doing while being in sync with your nature, everything else falls into place.

• The journey to finding your purpose is about exploring and enjoying life, being an adventurer, and being curious.

Best Piece of Advice

In this section, the speaker talks about the best piece of advice he ever received from his father. He emphasizes the importance of leading a life of purpose and having unlimited upside.

Leading a Life of Purpose

• The best piece of advice the speaker ever received was from his father who said that if you try to latch onto someone else's success, you will suffer long term.

• It's important to lead a life of purpose where you have unlimited upside and not get trapped into something predictable and stable.

• This applies in investing as well where you want limited downside but unlimited upside.

Living by Your Inner Scorecard

In this section, the speaker advises people to live by their inner scorecard and not worry about what others think. He emphasizes that everything passes, and people's opinions are only relevant for a short time.

Live by Your Inner Scorecard

• The speaker encourages people to live by their inner scorecard.

• He advises against worrying about what others will say because everything passes quickly.

• People's opinions are only relevant for a week at best.

Swadharm and Dharma

In this section, the speaker discusses the concept of dharma and swadharm. He recommends a particular version of the Gita that he found particularly impactful.

Understanding Dharma

• The speaker describes the concept of dharma.

• He recommends a specific version of the Gita that captures the electricity of the original talk.

Sketchbook of Wisdom

In this section, the speaker talks about his book "Sketchbook of Wisdom" and expresses gratitude for being honored with it.

Sketchbook of Wisdom

• The speaker mentions his book "Sketchbook of Wisdom."

• He expresses gratitude for being honored with it.

Conclusion

In this section, Manisha thanks the speaker for sharing his insights and wisdom. She also acknowledges him for doing great service to everyone through his work.

Final Thoughts

• Manisha thanks the speaker for sharing his insights and wisdom.

• She acknowledges him for doing great service to everyone through his work.