“A quantum property is not a property of an object in itself, but a property of how that object relates to another. Reality is made of relations, not of substances.”Carlo Rovelli · Helgoland: Making Sense of the Quantum Revolution · 2020 · Helgoland, Chapter 4: The Relational Interpretation, section 'Quantum Mechanics Is a Theory of Information'
Quantum properties are defined by interactions, not absolute.
Rovelli extends Niels Bohr's idea that quantum measurement creates reality: any interaction between two quantum systems defines relative properties. For instance, an electron's position does not exist until it interacts with another system, like a detector. This eliminates paradoxes such as Schrödinger's cat, since states are defined only relative to an observer. Rovelli emphasizes this is an interpretation, not a new theory, but it offers a coherent picture of quantum mechanics without collapse or hidden variables.
On a financial market, a stock's price is not an absolute value. It emerges only when buyer and seller interact. Just like in quantum mechanics, properties arise from relations, not from isolated things. This teaches us to see reality as a game of connections, not as a set of fixed objects. The next step is to understand how these relations shape what we call knowledge.
Knowledge is not a collection of absolute facts, but a set of relations between observer and system. When a trader analyzes a chart, the information they extract depends on their tools and perspective. Another trader, with the same chart, may see something different. Similarly, in quantum physics, measurement does not uncover a pre-existing reality, but creates one relative to the apparatus. This forces us to accept that truth depends on context. The next step is to explore how this relativity of knowledge changes the way we make decisions.
If we accept that properties are relative, then risk becomes relative too. An investor cannot calculate a stock's risk without considering their own context. The same asset can be risky for a pension fund and safe for a speculator. Similarly, in quantum mechanics, an electron has no fixed trajectory, only one defined by its interaction with the measuring device. This shows us that risk is not a property of things, but of the relationships between them. The next step is to see how this relativity of risk helps us manage uncertainty.
When we accept that reality is relational, long-term planning becomes an illusion. An investor who builds a portfolio based on absolute values risks being blinded by false certainties. Similarly, in quantum mechanics, talking about a system's state without specifying what it interacts with is meaningless. This invites us to adopt more flexible thinking, where strategies are continuously adjusted based on context. The next step is to apply this flexibility to how we relate to failure.
Failure is not a property of an action, but of the relationship between that action and our expectations. When an investor loses money, it does not mean the investment was inherently bad, but that the interaction with the market produced an unfavorable result in that context. Similarly, in quantum mechanics, an experimental outcome does not reflect an objective reality, but a relationship between the system and the apparatus. This frees us from the burden of absolute failures and invites us to learn from every interaction.
This relativity of properties teaches us to abandon absolute certainties. A manager who believes a decision is inherently right ignores that success depends on interaction with the team and the market. When a product fails, it is not its fault, but the relationship with customers at that moment. Similarly, in physics, a particle has no fixed position until it interacts. So instead of seeking eternal truths, we can view each interaction as an opportunity to learn and adjust.
If reality is relational, then trust becomes relative too. An investor does not trust an asset, but their relationship with the market at a given moment. When a friend recommends a stock, you rely not on its absolute value, but on the history of your interactions. Similarly, in quantum mechanics, a system has no properties independent of an observer. This shows us that trust is not a given, but is built and adjusted through each interaction. The next step is to see how we can cultivate this flexible trust.
Why it matters This idea explains why market information is context-relative: an asset has no intrinsic value but one defined by interactions between participants.