HEXAGRAM 59: ORIGINAL, INTERPRETATION AND CASES

 

 

 

HEXAGRAM 59 – Huan - Dispersion (Dissolution)

 

Above SUN   THE GENTLE, WIND

Below K'AN  THE ABYSMAL, WATER

 

Wind blowing over water

disperses it,

dissolving it into

·        foam and

·        mist. 

This suggests that when a man's vital energy is dammed up within him

(indicated as a danger by the attribute of the lower trigram),

gentleness serves to

·        break up and

·        dissolve

the blockage.

 

THE JUDGMENT

 

Dispersion, 

Success.

The king approaches his temple.

It furthers one to cross the great water. 

Perseverance furthers.

 

The text of this hexagram resembles that of Ts'ui, GATHERING TOGETHER (45). 

In the latter,

the subject is the bringing together of elements that have been separated,

as water collects in lakes upon the earth. 

Here

the subject is the dispersing and dissolving of divisive egotism. 

 

DISPERSION shows the way, so to speak, that leads to gathering together. 

This explains the similarity of the two texts.

 

Religious forces are needed to overcome the egotism that divides men. 

1.   The common celebration of the great

·        sacrificial feasts and

·        sacred rites,

which gave expression simultaneously to the

·        interrelation and

·        social articulation of

o   family and

o   state,

was the means employed by the great rulers to unite men. 

·        The sacred music and

·        the splendor of the ceremonies

aroused a strong tide of emotion

·        that was shared by all hearts in unison, and

·        that awakened a consciousness of the common origin of all creatures. 

In this way

·        disunity was overcome and

·        rigidity dissolved. 

 

A further means to the same end is

2.   cooperation in great general undertakings that

set a high goal for the will of the people;

in the common concentration on this goal,

all barriers dissolve,

just as,

·        when a boat is crossing a great stream,

·        all hands must unite in a joint task.

 

But only a man

·        who is himself free of all selfish ulterior considerations, and

·        who perseveres in justice and steadfastness,

is capable of so dissolving the hardness of egotism.

 

THE IMAGE

 

The wind drives over the water: The image of DISPERSION.

Thus

the kings of old

·        sacrificed to the Lord And

·        built temples.

 

In the autumn and winter,

water begins to freeze into ice. 

When

the warm breezes of spring come,

·        the rigidity is dissolved, and

·        the elements that have been dispersed in ice floes are reunited. 

It is the same with the minds of the people. 

Through

·        hardness and

·        selfishness

the heart grows rigid, and

this rigidity leads to separation from all others. 

·        Egotism and

·        Cupidity

isolate men. 

Therefore

the hearts of men

·        must be seized by a devout emotion. 

They

·        must be shaken by a religious awe in face of eternity –

·        stirred with an intuition of the One Creator of all living beings, and

·        united through the strong feeling of fellowship experienced in the ritual of divine worship.

 

THE LINES

 

Six at the beginning means: 

He brings help with the strength of a horse. 

Good fortune.

 

It is important

·        that disunion should be overcome at the outset,

o   before it has become complete –

·        that the clouds should be dispersed

o   before they have brought storm and rain. 

At such times when

hidden divergence’s in temper

·        make themselves felt and

·        lead to mutual misunderstandings,

we must take quick and vigorous action to dissolve the

·        misunderstandings and

·        mutual distrust.

 

Nine in the second place means: 

At the dissolution

He hurries to that which supports him. 

Remorse disappears.

 

When

an individual

discovers within himself the beginnings of alienation from others, of

·        misanthropy and

·        ill humor,

he

must set about dissolving these obstructions. 

He must

·        rouse himself inwardly,

·        hasten to that which supports him. 

Such support is

never found in hatred,

but

always in a

·        moderate and

·        just judgment of men,

linked with good will. 

If he

·        regains this unobstructed outlook on humanity,

while at the same time

·        all saturnine ill humor is dissolved,

all occasion for remorse disappears.

 

Six in the third place means: 

He dissolves his self. 

No remorse.

 

Under certain circumstances,

a man's work may become so difficult

that

he can no longer think of himself. 

He must

·        set aside all personal desires and

·        disperse whatever the self gathers about it to serve as a barrier against others. 

Only on the basis of a great renunciation can

he obtain the strength for great achievements. 

By setting his goal in a great task outside himself,

he can attain this standpoint.

 

Six in the fourth place means: 

He dissolves his bond with his group. (1) 

Supreme good fortune.

Dispersion leads in turn to accumulation.

This is something that ordinary men do not think of.

 

When

·        we are working at a task that affects the general welfare,

·        we must leave all private friendships out of account. 

Only by

rising above party interests

can we achieve something decisive. 

He who has the courage thus to

·        forego what is near

·        wins what is afar. 

But in order to comprehend this standpoint,

one must have a wide view of the interrelationships of life,

such as only unusual men attain.

 

Nine in the fifth place means: 

His loud cries are as dissolving as sweat. 

Dissolution! 

A king abides without blame.

 

In times of general

·        dispersion and

·        separation,

a great idea provides a focal point for the organization of recovery. 

Just as

·        an illness reaches its crisis in a dissolving sweat,

so

·        a great and stimulating idea is a true salvation in times of general deadlock. 

It gives the people a rallying point –

a man in a ruling position who can dispel misunderstandings.

 

Nine at the top means:

He dissolves his blood. 

Departing, keeping at a distance, going out,

Is without blame.

 

The idea of

·        the dissolving of a man's blood means

·        the dispersion of that which might lead to bloodshed and wounds,

·        i.e., avoidance of danger. 

But here

the thought

·        is not that a man avoids difficulties for himself alone,

·        but rather that he rescues his kin - -

·        helps them

o   to get away before danger comes, or

o   to keep at a distance from an existing danger, or

o   to find a way out of a danger that is already upon them. 

In this way he does what is right.

 

 

(1) . [Literally, in the German, "He dissolves himself from his group”.]

 

 

 

 

 

 

 

 

 

59 DISPERSION (DISSOLUTION)

 

 

 

MANAGERIAL ISSUE:

 

The CEO – managing corporate Dispersion – dissolving negative influences to unite the employees i.e. creating a winning team by eliminating individualities.

 

Hexagram 59 describes the CEO’s need to:

·        First, dissolve (Dispersion) the corporate blockage or rigidity which was created by divisive egotism and which is dividing the employees. 

·        Second, overcome disunity to make this potentially profitable corporation work as a single team. 

 

Egotism, rigidity, and disunity are the reasons why the corporation is going through a period of stagnation. 

 

The Superior CEO applies a gentle o friendly attitude to bring all the employees together.  A friendly attitude will serve the CEO well in dealing with so many individual personalities and prima donnas to forge them into a single harmonious team. 

 

The I Ching says: “when a man's vital energy is dammed up within him, gentleness serves to break up and dissolve the blockage”.

 

The I Ching compares two Hexagrams related to the issue of Dispersion and Gathering Together:

·        In Hexagram 45 (Gathering Together) “the subject is the bringing together of elements that have been separated, as water collects in lakes upon the earth”. 

·        In Hexagram 59 (Dispersion) “the subject is the dispersing and dissolving of divisive egotism.  DISPERSION shows the way, so to speak, that leads to gathering together”. 

 

 

 

MANAGERIAL LESSON:

 

The Superior CEO must:

 

1)   Balance two needs: the need each team player has to be and to feel as an individual, with the need for the overall team to have each individual sacrifice for the common goal.  By eliminating the Prima Donna mentality of each individual player he gives life to the team and turns this corporation into a profitable one.

 

2)   Establish a common goal as the binding force for the team.   This goal must be high and noble, or at least perceived by the employees to be noble.  This is similar to a crusade where individuals with large egos such as Kings, Princes, Knights, Dukes and Counts, willingly gave up their individual quests for the sake of greater one.  When religious fervor grabs a hold of men, their individual goals means little. 

 

In the same way, the CEO must raise their spirits in a crescendo.  Corporations like Google, Sun Microsystems, IBM, Oracle and American On Line developed an almost religious crusade to destroy Microsoft.  Their Holy Grail was Java.  Their mission was to do away with Windows as the globally accepted operating system.  In these corporations there were real geniuses; yet, they all put their egos aside to work for a single purpose, to slay their enemy before their enemy slays them.  They all gathered together in large meetings via teleconferencing, much like their archenemy Microsoft does, to discuss with their employees on a global basis their strategies and plans, always keeping in mind their common goal.  These meetings became like a Mass where the CEOs took over the role of the priests to impart the blessings on the modern warriors, who go off to their crusade.  Their communion was spiritual, where they all ate and drank of the same purpose.  It is at these meetings where the CEO accomplishes his task by creating a sense of belonging, of being part of the larger corporate team or industry.  Such sense of purpose forges the corporation into a single fighting spirit.

 

3)   The CEO can accomplish this task only if he is up to it both morally and professionally.  He must be the real believer to impart the belief, and the most enthusiastic to impart enthusiasm.  He must be the first to sacrifice his own ego for the sake of the team.  If his followers sense his hypocrisy they will not follow him. 

 

 

 

 

INVESTMENT ADVICE:

 

For the investor, the Dispersion represents in general terms a favorable Time-Space to invest,

 

By itself (no lines) the Time-Space points to success provided the CEO applies religious (spiritual) forces to disperse the selfishness in the corporation.

 

Dispersion, 

Success.

The king approaches his temple.

It furthers one to cross the great water. 

Perseverance furthers.

 

The text of this hexagram resembles that of Ts'ui, GATHERING TOGETHER (45).  In the latter, the subject is the bringing together of elements that have been separated, as water collects in lakes upon the earth.  Here the subject is the dispersing and dissolving of divisive egotism.  DISPERSION shows the way, so to speak, that leads to gathering together.  This explains the similarity of the two texts.

 

Religious forces are needed to overcome the egotism that divides men.  The common celebration of the great sacrificial feasts and sacred rites, which gave expression simultaneously to the interrelation and social articulation of family and state, was the means employed by the great rulers to unite men.  The sacred music and the splendor of the ceremonies aroused a strong tide of emotion that was shared by all hearts in unison, and that awakened a consciousness of the common origin of all creatures.  In this way disunity was overcome and rigidity dissolved.  A further means to the same end is cooperation in great general undertakings that set a high goal for the will of the people; in the common concentration on this goal, all barriers dissolve, just as, when a boat is crossing a great stream, all hands must unite in a joint task.

 

But only a man who is himself free of all selfish ulterior considerations, and who perseveres in justice and steadfastness, is capable of so dissolving the hardness of egotism.

 

 

The lines include two possibilities of Good Fortune in the first and fourth (Supreme Good Fortune) places, one negative (in the fifth place) and three semi - positives.

 

The following are cases of corporations under the Dispersion Time-Space.

 

·        Wynn Resorts Ltd. WYNN under CEO Stephen A. Wynn

·        Mylan Inc. MYL under CEO Robert J. Coury

·        SanDisk Corp. SNDK under CEO Sanjay Mehrotra

·        Fiserv, Inc. FISV under CEO Jeffery Yabuki

 

 

(Read at the end of the Hexagram)

 

 

 

 

THE LINES

 

 

 

SIX IN THE FIRST PLACE

 

Managerial Issue: The CEO – managing corporate Dispersion – dissolving negative influences to unite the employees i.e. creating a winning team by eliminating individualities - stopping disunion at its very beginning.

 

Managerial Lesson: Be firm. 

 

Managerial Warning: At the first stage of the Dispersion Time-Space, the CEO faces the need to Disperse those forces that are creating disunion amongst the employees.

 

Managerial Advice: The Superior CEO “takes quick and vigorous action to dissolve the misunderstandings and mutual distrust”. He acts at once firmly yet gently in eliminating, for instance, any fierce individuality before it gets out of hand and destroys the team.  Prevention is the best medicine.

 

Investment advice: Invest.

 

 

 

 

 

 

NINE IN THE SECOND PLACE

 

Managerial Issue: The CEO – managing corporate Dispersion – dissolving negative influences to unite the employees i.e. creating a winning team by eliminating individualities - recognizing he is the cause of the disunity.

 

Managerial Lesson: Be altruistic. 

 

Managerial Warning: At the second stage of the Dispersion Time-Space, the CEO recognizes his selfishness is the cause for the disunity within the corporation and the effect will be its future destruction. 

 

Managerial Advice: The Superior CEO conquers himself before he conquers others.  He recognizes his own ego related weakness and acts quickly to eliminate it from within his own self and thus repair the damage.  He uses as his weapons, humility, justice and affection to allow him to go back to what made him part of the team and to eliminate whatever has separated him from it.    

 

Investment advice: Do not invest.

 

 

 

SIX IN THE THIRD PLACE

 

Managerial Issue: The CEO – managing corporate Dispersion – dissolving negative influences to unite the employees i.e. creating a winning team by eliminating individualities – giving up personal desires.

 

Managerial Lesson: Be focused. 

 

Managerial Warning: At the third stage of the Dispersion Time-Space, the CEO is so caught up in the everyday little tasks that he forgets the main corporate mission.  The forces he must disperse are created by his own lack of mental discipline. 

 

Managerial Advice: The Superior CEO makes a supreme effort and thinks of a lofty goal to put him back on track.  Focusing on the main task will eliminate any selfish thoughts.

 

Investment advice: Do not invest. 

 

 

 

SIX IN THE FOURTH PLACE

 

Managerial Issue: The CEO – managing corporate Dispersion – dissolving negative influences to unite the employees i.e. creating a winning team by eliminating individualities – using Dispersion to dissolve his bond with his group.

 

Managerial Lesson: Be determined. 

 

Managerial Warning: At the fourth stage of the Dispersion Time-Space, the CEO realizes there will be times when he will have to destroy the ego of those closest to him. 

Managerial Advice: The Superior CEO knows that:

·        Sometimes it is necessary to sacrifice the ones you hold dear for the sake of the greater aim.

·        Nepotism is the sure way to corporate disaster. 

·        As long as he focuses on the final goal, he will know what to do without regrets.

 

Investment advice: Invest.

 

 

 

NINE IN THE FIFTH PLACE

 

Managerial Issue: The CEO – managing corporate Dispersion – dissolving negative influences to unite the employees i.e. creating a winning team by eliminating individualities. – using dispersion by establishing lofty goals.

 

Managerial Lesson: Be a leader. 

 

Managerial Warning: At the fifth stage of the Dispersion Time-Space, the CEO encounters the corporation is going through times of general deadlock.

 

Managerial Advice: The Superior CEO knows that:

·        When the corporation reaches a stagnation point, he must establish a common goal to pull all the employees’ efforts into a single focused direction. 

·        Sometimes it is necessary to sacrifice the individuality for the sake of the common goal.

·        The higher, the nobler, the loftier the goal, the stronger the employees response will be turning the goal into the binding force.

 

Investment advice: Do not invest.

 

 

 

NINE IN THE SIXTH PLACE

 

Managerial Issue: The CEO – managing corporate Dispersion – dissolving negative influences to unite the employees i.e. creating a winning team by eliminating individualities. – Dispersing what creates danger for the corporation.

 

Managerial Lesson: Be disciplined. 

 

Managerial Warning: At the sixth stage of the Dispersion Time-Space, the CEO must disperse “that which might lead to bloodshed and wounds”. He might encounter corporate weakness created by excessive individuality or a possible takeover by a larger corporation. 

 

Managerial Advice: The Superior CEO knows that to save the whole team, he must tame their egos, and blend them into a single fighting force to avoid the destruction of the corporation.  Otherwise they would become easy prey for their adversaries.

 

Investment Advice: Do not invest.

 

MANAGERIAL CASES

 

 

 

Wynn Resorts Ltd. WYNN under CEO Stephen A. Wynn

 

 

Stephen Wynn’s Performance:   ROI= 849.72%         Annualized Return=         27.13%

SPY’s Performance:                            ROI=   47.11%       Annualized Return=            4.20%        

 

Stephen A. Wynn is the founder of Wynn Resorts and became CEO in June of 2002. 

 

Since then he has been able to outperform the SPY substantially proving he is a superior CEO.

 

However, because he has been CEO for almost a decade, we asked the Oracle once more about his future.  His new hexagram is The Dispersion. 

 

Since the beginning of 2011, his performance has been quite above the SPY’s which proves he is enjoying the good fortune of the first line.

 

 

Points the investor should consider:

 

 

1)  THE HEXAGRAM

 

HEXAGRAM 59 – Huan - Dispersion (Dissolution)

 

Wind blowing over water disperses it, dissolving it into foam and mist.  This suggests that when a man's vital energy is dammed up within him (indicated as a danger by the attribute of the lower trigram), gentleness serves to break up and dissolve the blockage.

 

 

THE JUDGMENT

 

Dispersion, 

Success.

The king approaches his temple.

It furthers one to cross the great water. 

Perseverance furthers.

 

The text of this hexagram resembles that of Ts'ui, GATHERING TOGETHER (45).  In the latter, the subject is the bringing together of elements that have been separated, as water collects in lakes upon the earth.  Here the subject is the dispersing and dissolving of divisive egotism.  DISPERSION shows the way, so to speak, that leads to gathering together.  This explains the similarity of the two texts.

 

Religious forces are needed to overcome the egotism that divides men.  The common celebration of the great sacrificial feasts and sacred rites, which gave expression simultaneously to the interrelation and social articulation of family and state, was the means employed by the great rulers to unite men.  The sacred music and the splendor of the ceremonies aroused a strong tide of emotion that was shared by all hearts in unison, and that awakened a consciousness of the common origin of all creatures.  In this way disunity was overcome and rigidity dissolved.  A further means to the same end is cooperation in great general undertakings that set a high goal for the will of the people; in the common concentration on this goal, all barriers dissolve, just as, when a boat is crossing a great stream, all hands must unite in a joint task.

 

But only a man who is himself free of all selfish ulterior considerations, and who perseveres in justice and steadfastness, is capable of so dissolving the hardness of egotism.

 

 

2)  THE ADVICE

 

The wind drives over the water: The image of DISPERSION.

Thus the kings of old sacrificed to the Lord

And built temples.

 

In the autumn and winter, water begins to freeze into ice.  When the warm breezes of spring come, the rigidity is dissolved, and the elements that have been dispersed in ice floes are reunited.  It is the same with the minds of the people.  Through hardness and selfishness the heart grows rigid, and this rigidity leads to separation from all others.  Egotism and cupidity isolate men.  Therefore the hearts of men must be seized by a devout emotion.  They must be shaken by a religious awe in face of eternity - stirred with an intuition of the One Creator of all living beings, and united through the strong feeling of fellowship experienced in the ritual of divine worship.

 

 

3)  THE LINES:

 

Six at the beginning means: 

He brings help with the strength of a horse. 

Good fortune.

 

It is important that disunion should be overcome at the outset, before it has become complete - that the clouds should be dispersed before they have brought storm and rain.  At such times when hidden divergence’s in temper make themselves felt and lead to mutual misunderstandings, we must take quick and vigorous action to dissolve the misunderstandings and mutual distrust.

 

 

Nine in the second place means: 

At the dissolution

He hurries to that which supports him. 

Remorse disappears.

 

When an individual discovers within himself the beginnings of alienation from others, of misanthropy and ill humor, he must set about dissolving these obstructions.  He must rouse himself inwardly, hasten to that which supports him.  Such support is never found in hatred, but always in a moderate and just judgment of men, linked with good will.  If he regains this unobstructed outlook on humanity, while at the same time all saturnine ill humor is dissolved, all occasion for remorse disappears.

 

 

Six in the third place means: 

He dissolves his self. 

No remorse.

 

Under certain circumstances, a man's work may become so difficult that he can no longer think of himself.  He must set aside all personal desires and disperse whatever the self gathers about it to serve as a barrier against others.  Only on the basis of a great renunciation can he obtain the strength for great achievements.  By setting his goal in a great task outside himself, he can attain this standpoint.

 

 

Six in the fourth place means: 

He dissolves his bond with his group. (1) 

Supreme good fortune.

Dispersion leads in turn to accumulation.

This is something that ordinary men do not think of.

 

When we are working at a task that affects the general welfare, we must leave all private friendships out of account.  Only by rising above party interests can we achieve something decisive.  He who has the courage thus to forego what is near wins what is afar.  But in order to comprehend this standpoint, one must have a wide view of the interrelationships of life, such as only unusual men attain.

 

 

(1) . [Literally, in the German, "He dissolves himself from his group”.]

 

 

4)  THE MOVING HEXAGRAM

 

HEXAGRAMA 13 - T'ung Jen - Fellowship with Men

 

The image of the upper trigram Ch'ien is heaven, and that of the lower, Li, is flame.  It is the nature of fire to flame up to heaven.  This gives the idea of fellowship.  It is the second line that, by virtue of its central character, unites the five strong lines around it.  This hexagram forms a complement to Shih, THE ARMY (7).  In the latter, danger is within and obedience without - the character of a warlike army, which, in order to hold together, needs one strong man among the many who are weak.  Here, clarity is within and strength without - the character of a peaceful union of men, which, in order to hold together, needs one yielding nature among many firm persons.

 

 

THE JUDGMENT

 

FELLOWSHIP WITH MEN in the open.

Success.

It furthers one to cross the great water.

The perseverance of the superior man furthers.

True fellowship among men must be based upon a concern that is universal.  It is not the private interests of the individual that create lasting fellowship among men, but rather the goals of humanity.  That is why it is said. that fellowship with men in the open succeeds.  If unity of this kind prevails, even difficult and dangerous tasks, such as crossing the great water, can be accomplished.  But in order to bring about this sort of fellowship, a persevering and enlightened leader is needed - a man with clear, convincing, and inspiring aims and the strength to carry them out. (The inner trigram means clarity; the outer, strength.)

 

 

THE IMAGE

 

Heaven together with fire: The image of FELLOWSHIP WITH MEN.

Thus the superior man organizes the clans

And makes distinctions between things.

 

Heaven has the same direction of movement as fire, yet it is different from fire.  Just as the luminaries in the sky serve for the systematic division and arrangement of time, so human society and all things that really belong together must be organically arranged.  Fellowship should not be a mere mingling, of individuals or of things - that would be chaos, not fellowship.  If fellowship is to lead to order, there must be organization within diversity.

 

 

 

 

Mylan, Inc. MYL under CEO Robert J. Coury

 

 

Robert Coury’s Performance:     ROI= 20.70%         Annualized Return=         2.08%

SPY’s Performance:                            ROI=         36.19%       Annualized Return=         3.44%        

 

Robert J. Coury became CEO of Mylan in September of 2002. 

 

Since then, his performance has been positive but below the SPY’s.

 

However, because he has been CEO for almost a decade, we asked the Oracle once more about his future.  His new hexagram is The Dispersion. 

 

 

Points the investor should consider:

 

 

1)  THE HEXAGRAM

 

(Same as Above).

 

 

2)  THE ADVICE

 

(Same as Above).

 

3)  THE LINES:

 

Six at the beginning means: 

He brings help with the strength of a horse. 

Good fortune.

 

It is important that disunion should be overcome at the outset, before it has become complete - that the clouds should be dispersed before they have brought storm and rain.  At such times when hidden divergence’s in temper make themselves felt and lead to mutual misunderstandings, we must take quick and vigorous action to dissolve the misunderstandings and mutual distrust.

 

 

Six in the third place means: 

He dissolves his self. 

No remorse.

 

Under certain circumstances, a man's work may become so difficult that he can no longer think of himself.  He must set aside all personal desires and disperse whatever the self gathers about it to serve as a barrier against others.  Only on the basis of a great renunciation can he obtain the strength for great achievements.  By setting his goal in a great task outside himself, he can attain this standpoint.

 

 

Nine in the fifth place means: 

His loud cries are as dissolving as sweat. 

Dissolution! 

A king abides without blame.

 

In times of general dispersion and separation, a great idea provides a focal point for the organization of recovery.  Just as an illness reaches its crisis in a dissolving sweat, so a great and stimulating idea is a true salvation in times of general deadlock.  It gives the people a rallying point - a man in a ruling position who can dispel misunderstandings.

 

 

4)  THE MOVING HEXAGRAM

 

HEXAGRAM 26 - Ta Ch’u - The Taming Power of the Great

 

The Creative is tamed by Ken, Keeping Still.  This produces great power, a situation in contrast to that of the ninth hexagram, Hsiao Ch'u, THE TAMING POWER OF THE SMALL, in which the Creative is tamed by the Gentle alone.  There one weak line must tame five strong lines, but here four strong lines are restrained by two weak lines; in addition to a minister, there is a prince, and the restraining power therefore is far stronger.

 

The hexagram has a threefold meaning, expressing different aspects of the concept Holding firm.  Heaven within the  mountain gives the idea of holding firm in the sense of holding together; the trigram Ken, which holds the trigram Ch'ien still, gives the idea of holding firm in the sense of holding back; the third idea is that of holding firm in the sense of caring for and nourishing.  This last is suggested by the fact that a strong line at the top, which is the ruler of the hexagram, is honored and tended as a sage.  The third of these meanings also attaches specifically to this strong line at the top, which represents the sage.

 

 

THE JUDGMENT

 

THE TAMING POWER OF THE GREAT. 

Perseverance furthers.

Not eating at home brings good fortune. 

It furthers one to cross the great water.

 

To hold firmly to great creative powers and store them up, as set forth in this hexagram, there is need of a strong, clearheaded man who is honored by the ruler.  The trigram Ch'ien points to strong creative power; Ken indicates firmness and truth.  Both point to light and clarity and to the daily renewal of character.  Only through such daily self-renewal can a man continue at the height of his powers.  Force of habit helps to keep order in quiet times; but in periods when there is a great storing up of energy, everything depends on the power of the personality.  However, since the worthy are honored, as in the case of the strong personality entrusted with leadership by the ruler, it is an advantage not to eat at home but rather to earn one's bread by entering upon public office.  Such a man is in harmony with heaven; therefore even great and difficult undertakings, such as crossing the great water, succeed.

 

 

THE  IMAGE

 

Heaven within the mountain:

The image of THE TAMING POWER OF THE GREAT.

Thus the superior man acquaints himself with many sayings of antiquity

And many deeds of the past, In order to strengthen his character thereby.

 

Heaven within the mountain points to hidden treasures.  In the words and deeds of the past there lies hidden a treasure that men may use to strengthen and elevate their own characters.  The way to study the past is not to confine oneself to mere knowledge of history but, through application of this knowledge, to give actuality to the past.

 

 

 

 

SanDisk Corp. SNDK under CEO Sanjay Mehrotra

 

 

Sanjay Mehrotra’s Performance: ROI= (8.68%)         Annualized Return=         (10.98%)

SPY’s Performance:                            ROI=         (3.53%)      Annualized Return=         (  4.49%)       

 

Sanjay Mehrotra is one of the original founders of SanDisk Corporation.  He became CEO in January of 2011.

 

It is too early to measure his performance, however, since then, he has not been able to outperform the SPY even though his performance has been improving since the last quarter of 2011.

 

 

Points the investor should consider:

 

 

1)  THE HEXAGRAM

 

(Same as Above).

 

 

2)  THE ADVICE

 

(Same as Above).

 

 

3)  THE LINES:

 

Six in the third place means: 

He dissolves his self. 

No remorse.

 

Under certain circumstances, a man's work may become so difficult that he can no longer think of himself.  He must set aside all personal desires and disperse whatever the self gathers about it to serve as a barrier against others.  Only on the basis of a great renunciation can he obtain the strength for great achievements.  By setting his goal in a great task outside himself, he can attain this standpoint.

 

 

4)  THE MOVING HEXAGRAM

 

HEXAGRAM 57 – Sun - The Gentle (The         Penetrating, Wind)

 

Sun is one of the eight doubled trigrams.  It is the eldest daughter and symbolizes wind or wood; it has for its attribute gentleness, which nonetheless penetrates like the wind or like growing wood with its roots.

 

The dark principle, in itself rigid and immovable, is dissolved by the penetrating light principle, to which it subordinates itself in gentleness.  In nature, it is the wind that disperses the gathered clouds, leaving the sky clear and serene.  In human life it is penetrating clarity of judgment that thwarts all dark hidden motives.  In the life of the community it is the powerful influence of a great personality that uncovers and breaks up those intrigues which shun the light of day.

 

 

THE JUDGMENT

 

THE GENTLE. 

Success through what is small.

It furthers one to have somewhere to go.

It furthers one to see the great man.

 

Penetration produces gradual and inconspicuous effects.  It should be effected not by an act of violation but by influence that never lapses.  Results of this kind are less striking to the eye than those won by surprise attack, but they are more enduring and more complete.  If one would produce such effects one must have a dearly defined goal, for only when the penetrating influence works always in the same direction can the object be attained.  Small strength can achieve its purpose only by subordinating itself to an eminent man who is capable of creating order.

 

 

THE IMAGE

 

Winds following one upon the other:  The image of THE GENTLY PENETRATING.

Thus the superior man

Spreads his commands abroad

And carries out his undertakings.

 

The penetrating quality of the wind depends upon its ceaselessness.  This is what makes it so powerful; time is its instrument.  In the same way the ruler's thought should penetrate the soul of the people.  This too requires a lasting influence brought about by enlightenment and command.  Only when the command has been assimilated by the people is action in accordance with it possible.   Action without preparation of the ground only frightens and repels.

 

 

 

 

Fiserv, Inc. FISV under CEO Jeffery Yabuki

 

 

Jeffery Yabuki’s Performance:    ROI= 43.27%         Annualized Return=         5.44%

SPY’s Performance:                            ROI=   3.49%         Annualized Return=         0.51%        

 

Jeffery Yabuki became CEO of Fiserv in January of 2005. 

 

Since then he has been able to outperform the SPY.

 

 

Points the investor should consider:

 

 

1)  THE HEXAGRAM

 

(Same as Above).

 

 

2)  THE ADVICE

 

(Same as Above).

 

 

 

3)  THE LINES:

 

Six at the beginning means: 

He brings help with the strength of a horse. 

Good fortune.

 

It is important that disunion should be overcome at the outset, before it has become complete - that the clouds should be dispersed before they have brought storm and rain.  At such times when hidden divergence’s in temper make themselves felt and lead to mutual misunderstandings, we must take quick and vigorous action to dissolve the misunderstandings and mutual distrust.

 

 

Six in the fourth place means: 

He dissolves his bond with his group. (1) 

Supreme good fortune.

Dispersion leads in turn to accumulation.

This is something that ordinary men do not think of.

 

When we are working at a task that affects the general welfare, we must leave all private friendships out of account.  Only by rising above party interests can we achieve something decisive.  He who has the courage thus to forego what is near wins what is afar.  But in order to comprehend this standpoint, one must have a wide view of the interrelationships of life, such as only unusual men attain.

 

 

Nine in the fifth place means: 

His loud cries are as dissolving as sweat. 

Dissolution! 

A king abides without blame.

 

In times of general dispersion and separation, a great idea provides a focal point for the organization of recovery.  Just as an illness reaches its crisis in a dissolving sweat, so a great and stimulating idea is a true salvation in times of general deadlock.  It gives the people a rallying point - a man in a ruling position who can dispel misunderstandings.

 

 

 (1) . [Literally, in the German, "He dissolves himself from his group”.]

 

 

4)  THE MOVING HEXAGRAM

 

HEXAGRAM 38 - K'uei - Opposition

 

This hexagram is composed of the trigram Li above, i.e., flame, which burns upward, and Tui below, i.e., the lake, which seeps downward.  These two movements are in direct contrast.  Furthermore, Li is the second daughter and Tui the youngest daughter, and although they live in the same house they belong, to different men; hence their wills are not the same but are divergently directed.

 

 

THE JUDGMENT

 

OPPOSITION. 

In small matters, good fortune.

 

When people live in opposition and estrangement they cannot carry out a great undertaking in common; their points of view diverge too widely.  In such circumstances one should above all not proceed brusquely, for that would only increase the existing opposition; instead, one should limit oneself to producing gradual effects in small matters.  Here success can still be expected, because the situation is such that the opposition does not preclude all agreement.

 

In general, opposition appears as an obstruction, but when it represents polarity within a comprehensive whole, it has also its useful and important functions.  The oppositions of heaven and earth, spirit and nature, man and woman, when reconciled, bring about the creation and reproduction of life.  In the world of visible things, the principle of opposites makes possible the differentiation by categories through which order is brought into the world.

 

 

THE IMAGE

 

Above, fire, below, the lake:  The image of OPPOSITION. 

Thus amid all fellowship

The superior man retains his individuality.

 

The two elements, fire and water, never mingle but even when in contact retain their own natures.  So the cultured man is never led into baseness or vulgarity through intercourse or community of interests with persons of another sort; regardless of all commingling, he will always preserve his individuality.