In Capitalism, it can be unequivocally stated that the Philosopher’s Stone uniting trades and profits is knowledge of Capitalism’s future, specifically, Knowledge of Capitalism’s Destination.
This article proves that knowledge of Capitalism’s Destination is the ‘Philosopher’s Stone’ of trading and should be thus the principal premise for Trades. It also provides tools for traders to categorise their trade and advises tools for each category.
Types of Capitalism
There are two Types of Capitalism, Nihilistic and Destination:
- ‘Nihilistic Capitalism’ – Capitalism without a defined Destination (goalless) – ‘no purpose Capitalism’.
- Destination Capitalism’ – Capitalism with a defined Destination (goal) or future -’pre-purposed Capitalism’.
Nihilistic Capitalism is Capitalism with no purpose, no meaning and thus (Teleologically) no Destination. How can one state that a Company (product/service) is:
- more innovative
- more utility
- more purpose (serves a higher purpose)
- or just plain ‘better’
when to be more of ‘some-Thing’ is to be less of what is the ‘whole-Thing’.. In and of itself, we are declaring a Destination when using the term ‘more’. The ‘whole-Thing’ is the Destination (the same applies for terms greater, advanced, evolution, better, higher and so on..).
To state that a bucket needs more water, is stating that it needs less of ‘not full of water’. The ‘inadvertent’ Destination for Bucket is, Full of Water.
Therefore, if Nihilistic Capitalism has no Purpose, no Destination, how is it then possible to premice trade, to prophesize coarse, predict its future?
Further (and outside the scope of this article…), why even bother? HA!
In light of the above, let’s assume Capitalism does have a goal, a Destination. Therefore, we can use terms like evolve, advance, greater as they imply utility to move closer to the Destination (and less of what is not going to move closer to the Destination).
There is no – purpose – argument for Pen, void of Destination Writing
How therefore, is one to determine this Destination? Further, in searching for signs of this Destination, what does it look like?
The Grand Destination – ‘The Destination’
Capitalism is trickle down and functions in a hierarchical food chain like fashion. A Tier 0 or ‘Destination’ company determines The Destination (a lion makes a kill), then Tier 1, 2, 3 and so do Occam’s Razor style capitalism efficiently (Pragmatism or a Meritocracy), on the opportunity created by the Tier 0 company (the subordinate animals compete for the carcass).
Note: Tier 1, 2, 3… and so on animals (in capitalism) are encouraged to make their own kills (…by the ‘Capitalised’) in the form of entrepreneurialism, and if the kill is big enough, the Lions will not be far away to stake claim. Killing/entrepreneurialism is super high risk in nature and has no absolute reproducible formula. It can take much ‘sweat’ to make a kill hence the term ‘Sweat Equity’ and sometimes even the ultimate cost, life. Why wouldn’t the Capitalised task this to the un-Capitalised…?
The Destination is therefore the ‘leading light’ of capitalisms narrative. In order to spot this wellspring Destination, one must follow the narrative trail to the summit.
It is pertinent at this point to declare two delineating types of companies in capitalism, the Destinationist and Efficientist. By declaring this bifurcation, traders know the company type they are trading and the resultant technique to use.
Destinationists and Efficientists
Efficientists are the aforementioned tier 1, 2, 3… companies that compete for the marketplace (the ‘carcass’) efficiently. Good traders observe a marketplace and trade Effientists predicated on highest amount of return using the lowest amount of input involving the lowest amount of risk – simple.
Destinationists (the exalted companies) determine the Destination that is ‘providence’ the top narrative (they determine and decree the Super Axiom). They (animated by their human operators) wake up in the morning and express their true Free Will; they are the progenitors of the day, the year, the decade…the true wellspring of capitalisms destination, the ‘Grand Destination’ (…a Super Axiom).
So trading Efficientists is good sport and sensible trading techniques and tools apply (tech. Analysis, Algorithms, Balance Sheet/P&L risk analysis, Financial Models etc..). It must be stressed, trading this market reflects the true ability of sensible, rational prudence produced by a trader and a trading organisation; specially it reflects ones ability to identify and rank company efficiency. On the other hand, trading Destinationists is a divine art and the technique is the traders Philosopher’s Stone. This primary technique is Destination Information Arbitrage (DIA).
Destination Information Arbitrage (DIA)
Definition: Operative – The current phenomena that is in existence. An animate of possibility. In Capitalism, a company that is operating.
We can state that, in capitalism, to be acquainted with:
- Destinationists (i.e. Tier 0 ) and,
- those who are acquainted with the Destinationists, (i.e. Tier 1) and,
- those who are acquainted to those, who are acquainted with the Destinationists, (i.e. Tier 2) and so on..
will indeed trade superemly and thus more profitably. We can declare this supreme* trading premise as Destination Information Arbitrage (DIA).
*by supreme, one is not implying that it is the only trading technique though one can – boldly – state (this articles’ purpose) that DIA can be thought of as the primacy or maxim of all trading premises.
Destination Capitalism animates Operatives (companies) via the Purpose Determinant of The Destination. That is, the ‘currency’ of Capitalism is Purpose to which is Determined via The Destination. Pointedly, Companies are bequeathed Purpose from The Destination and amass currency (the success metric of Capitalism) to which is capital (money, capital value or ‘worth’) from The Destination…period.
DIA states that being closer to the The Destination (the Wellspring) will correlate to trade success. We can illustrate the framework of DIA in the form of concentric circles; with The Destination at the central point and concentric circle strata tiers (or Narratives) surrounding the central point defined by :
- Delta Time – the time difference traders are Knowledge-d of The Destination.
- Delta Knowledge – the Knowledge difference trading groups have of The Destination.
DIA is the technique of Knowing and the difference in time of Knowing, capitalisms Purpose Determinant, The Destination.
Indeed, trading price is Efficient (Efficient Market Theory (EMT)) in that traders have animated price by DIA, the differences of Delta Time (1) and/or Delta Knowledge (2) of The Destination. Traders can (and will) apply DIA to the market, efficiently.
If EMT is a Capitalism’s means, DIA is its mode.
What one can state is that those who acquire more capital (the Capitalised), primarily do so via DIA and thus control The Destination by capital per se. This is an inevitable self-organising and perpetuating system where control hierarchies should not be thought of as some arbitrary consequence, but an ordained inevitability. Destinationists will exist with Capitalism and thus DIA method is the primacy of trade strategy.
Additionally, classing capitalisms companies (operatives) into two types, Destinationist and Efficientist, will profoundly grow trader returns. When trading, traders will know the type of animal they are hunting and thus select the most appropriate tool for the kill.
Lastly, Destination Capitalism states that there is a Destination, a Destination that is chosen (nominated) and thus, Purpose is determined; that is, companies success/failures are (by definition) pre-determined; by those Capitalised; the Destinationists; who progenerate the Destination…Destination Omniscience is the Philosopher’s Stone for Traders; maximally correlating trade and profit…(so get ‘networking’…or light your torches and grab a pitchfork!!).