When Failure Pays

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Most of what happens in investing, business, and creative work follows a pattern where a small number of outcomes produce the vast majority of results. A few ventures succeed spectacularly while the majority fail. A few investment picks produce most of a portfolio's growth while the rest go nowhere. This is not a problem to be solved — it is how value is created in most fields. If you are going to play in any domain where this pattern applies, you will be wrong most of the time. The question is whether you are positioned to capture the few results that matter when they arrive.