Expected Value and Asymmetric Return

Common mistake I see people making in trading is thinking: more risk = more reward. This is not true. Buying a lotto is very high risk, very low expected reward. Just because you increase the risk side of the equation, doesn't mean the reward side of the equation goes up. It's all about expected value maximization. All that is to say, you should try to chase asymmetric return opportunities, that ideally has low risk (not just quantitatively, but qualitatively, as Buffet has mentioned what lowers risk is kno