With Passover rapidly approaching, I’d like to discuss one of the most famous scenes in the entire Bible, the splitting of the Red Sea, and what investors can learn from this momentous experience.
So, after leaving Egypt, Bnei Yisrael find themselves trapped between the Egyptian army and the Red Sea, with nowhere to go. God parts the waters, allowing the Jewish people to cross onto dry land. Once they are safely across, the waters close back up, drowning the pursuing Egyptian forces. This miracle is one of the most well-known by people of all walks of life. It’s not uncommon to hear it cited colloquially, when people reference “parting of the Red Sea” when facing challenging circumstances.
While we should all pray for divine intervention to protect us and help us make good decisions and achieve our goals, I find that, in the realm of personal finance, far too many people seem to rely solely on miracles to secure their financial future. ONLY praying for the best outcome is not sufficient. It’s also important to do our part by putting in the work to financially prepare for our future.
This is consistent with the Exodus story. While the miraculous splitting of the Red Sea receives a lot of attention, comparably less time is spent considering the several significant preparations that the Jews undertook before leaving Egypt. This includes:
1. Giving a Korban or sacrifice: Each family was instructed to select a lamb or goat without blemish, keep it until the 14th day of the month, and then slaughter it at twilight. The blood of the korban was to be applied to the doorposts of their houses as a sign for G-d to “pass over” their homes during the final plague.
2. Plundering the Egyptians: God instructed the Jews to ask their Egyptian neighbors for articles of silver, gold, and clothing to provide them with resources for their journey (and also collect some of their unpaid wages).
3. Preparedness or Tzedah LaDerech: The Jews prepared food for their journey. Famously there was matzah, bread dough without enough time to rise.
4. Readiness: The Jewish people were instructed to eat their meal with their belts fastened, sandals on their feet, and staff in hand, signifying their readiness to leave quickly.
5. Organized Departure: Moshe organized the people to leave Egypt in an orderly fashion. The Torah describes about 600,000 men, along with women and children, leaving in haste.
Stated succinctly, BneiYisrael put in their hishtadlut, or effort, before leaving Egypt. They gave a Korban, ate, mentally prepared, obtained resources for their journey, and organized themselves for departure. Hishtadlut is an important concept in Jewish thought. It emphasizes the balance between human initiative and trust in God. Only after the work was put in, and they were stuck between a large sea and the most dominant army in the world, did God swoop in with the miracle of splitting the sea to finally free them from oppression.
In my next video, I will share what investors can learn from relying only on hope within our personal finances.