Everyone changes in one way or another. Some change for the better and some for the worse. Those that change for the better know that you can’t do better if you don’t change. It’s the same way when embracing new ideas and in making difficult decisions.
Should we buy this new house? Should I accept this new job offer? What is the best way to lead people? Our answers to these questions and thousands of others come from our experiences. Our experiences involve direct, personal interactions or repeated observations. Either way, we attach to certain beliefs and thoughts based on those experiences and subsequently filter new influences with previous occurrences. It is human nature to readily accept and defend what is consistent with our established beliefs. Conversely, we readily reject or discount those new ideas that appear different or inconsistent.
When investors are faced with evaluating suitable alternatives for investing their money, the financial industry has created a massive landscape of products and approaches that are designed to address all the areas of your financial health. Many of these are quite good, but certainly not all. Most likely, you have wisely invested your time and money in these alternatives and, to varying degrees, they have achieved your goals. Let’s take a moment, however, to parallel your investment approach to your professional life.
Your professional and monetary achievements are likely due to your unique personality and abilities. A successful career often requires a balance of focus and specialization along with independent thinking. Often, we need to challenge a commonly used industry approach or methodology in order to stay relevant and competitive.
During the past 25 years, we have all witnessed how technology and software have disrupted entire industries and changed everyday actions like sharing a car, getting food delivered, or evaluating equity investments. The software used on the IBM computer over 20 years ago to defeat a world champion chess master did not perform nearly as well as chess software available today on your phone. Since the 1990s, technology has continually either redefined “the best way” or offered an alternative way. For several decades financial firms with large technology budgets have used software to evaluate various quantitative investment techniques that help grow their own and their clients’ portfolios. We can now use software like this for individuals as well. As you have seen in your business, the best way yesterday does not preclude another way today or even a better way tomorrow.
As humans, we have our biases, opinions and attitudes. Whether it’s your career or your investments, sometimes you have to push the refresh button. The Porter Investments way is about challenging the norm and managing at least a portion of your investable assets using a specialized, alternative approach that has produced very good results over a number of years. With Porter Investments, you will be an active participant in a more individualized investment playbook.