On the Fear of Failure

Contemporary man suffers from a malaise that he often fails to express in words, stemming from the barrage of stimuli that overwhelm him daily and, in particular, from the crisis of traditional values that once provided clarity about the meaning of his existence.

This malaise is often fear, a preservation instinct whose evolutionary function is to prepare us for potential threats or to regulate behaviours that could harm the community, the cornerstone of our survival as a species.

Fear accompanies us at every moment: fear of failure, of disappointing our loved ones, of losing status, or even fear of fear itself.

In the world of investments, the inherent risk of facing uncertainty and the slim chances of success amplify the emotional burden of every decision. Thus, fear, originally protective, can become a paralysing or self-destructive force.

Manifestations of Fear in Investors

In the wild ecosystem of investments, fear can be classified into three main manifestations. The first is the fear that an idea or method will fail, leading investors to cling to flawed systems for too long or to delay the necessary testing before executing them. By nature, we avoid discomfort, and after investing time and energy in a project, facing a dead end feels profoundly unsettling.

The second is the fear of missing out on “the big opportunity,” particularly common among novice investors exposed to communities that showcase extraordinary results, often exaggerated or fabricated. This fear drives them to act recklessly, increasing the likelihood of costly mistakes.

The third, and most devastating, is the fear of being a failure, a malaise that can lead to anxiety, depression, and social isolation, while severely undermining performance.

A Way of Understanding is a Way of Feeling

The challenge in confronting paralysing impulses like fear lies in the fact that many proposed solutions, such as motivational speeches or rationalist approaches, end up reinforcing the same belief system that generates the discomfort. For instance, a motivational speech often has a fleeting effect, focusing on achieving success and developing positive ideas rather than embracing mistakes as a fundamental part of growth.

Paralysing fear can even limit the ability to assimilate constructive ideas or take positive actions. It is our belief system, the way we interpret reality, that either liberates or enslaves us and defines our capacity to succeed in any endeavour.

Most people today hold a flawed belief system, obsessed with outcomes and external validation, which makes them vulnerable to discomfort and distances them from authentic progress.

Conquest Through Failure

Just as a muscle strengthens by tearing its fibres to the point of exhaustion, love blossoms from sacrifice, and a skill is forged through time and dedication, both investments and life itself thrive on our exposure to mistakes for growth.

In trading, every loss or failed strategy is an opportunity to learn, adjust, and move forward, provided we transform our beliefs to see failure as the engine of progress and obstacles as stepping stones to virtue. Once we embrace this truth as the essence of our reality, we accept that disappointing others, being vulnerable to criticism, or being misunderstood is the inevitable price of growth—not only in investments but in every facet of our existence.

Every great discovery or talent has emerged from the struggle against failure, often confronting barriers imposed by institutions, social norms, or internal fears. Limitations such as age, lack of formal education, or excuses to justify failure often chain the common man to inaction.

Yet history shows us how Charles Darwin, Gregor Mendel, Michael Faraday, or Abraham Lincoln, without formal academic training, transformed the course of science, politics, and humanity. Others, like Charles Bukowski, Peter Mark Roget, or Maria Sibylla Merian, achieved their dreams at an advanced age, proving that time is not a barrier to reaching fulfilment.

The reality is that anyone, by overcoming obstacles in any field, can achieve excellence in a few years if they free themselves from limiting emotions and beliefs. Existence itself, whether by divine design or the vastness of the universe, endows us with opportunities: in one year, someone can overcome an addiction; in just two years, someone can maximise their physical potential; in less than five years, with effort and without fear of mistakes, almost any skill can be mastered. As long as we breathe, we hold in our hands the ability to positively transform our reality.

Conclusions

Although my usual focus is on the technical aspects of markets, on this occasion, I have sought to connect with the human side of the investors who read me, as I wish for them to understand that failing means fearing and retreating in the face of setbacks, while succeeding is failing fearlessly for a prolonged period until achieving virtue.

I am convinced that understanding mistakes and failure as inevitable and necessary parts of growth will not only strengthen their finances in the future but also make them freer and more confident individuals in all aspects of their lives.

Face every loss with gratitude, transforming mistakes into learning, and act with prudence and determination.