“It’s only when the tide goes out that you learn who’s been swimming naked”
— Warren Buffett
Simplified Meaning:
When everything is going well, it’s hard to tell who is truly prepared and responsible. Just like at the beach, when the water is high, you can’t see if someone is wearing a swimsuit or not. But when the water goes down, you can clearly see who is uncovered. This can be applied to real life situations, like during a financial crisis. When the economy is good, everyone seems to be doing well, but when things get tough, you can see who has actually been managing their money wisely and who hasn't. For example, in business, companies that have been taking risky shortcuts might seem successful during good times, but they are exposed when the market turns bad. To apply this wisdom in your own life, focus on being prepared and making smart, long-term decisions so that you’re not caught off guard when challenges arise.
