Tuesday, April 20, 2021

Excellence in Investing

Excellence in investing is not any different from other fields.

Daniel Chambliss followed an experiment and determined what led to success.

Excellence is mundane.

Investing has to be lacking excitement; must be a dull process. Anything else is not investing, it is speculating.

 Excellence is coming together of many small things done consistently and over long periods of time. He said “maintaining mundanity is the key psychological challenge” in the pursuit of excellence.

We underestimate the impact some habits can create, like Savings & investing for example.

The Brain seeks thrill and excitement, in overanalyzing and predicting the future. It can not fathom a simple mundane process to follow a systematic investment. If we start one, it creates noise either with over excitement or lack of any, creating roadblocks to the process.

If you pursue 'returns' too vigorously, you’ll never get them

Patience is the most crucial element. Most of the investment philosophies will be effective, just give it enough time. Our ability to stay the course matters the most.

The Formula for Excellence in Investing (Mundane!)