The reasons for that low number are, I guess, the same as your reasons for reading fewer books than you think you should have read last year: I’ve been finding it harder and harder to concentrate on words, sentences, paragraphs. Let alone chapters. Chapters often have page after page of paragraphs. It just seems such an awful lot of words to concentrate on, on their own, without something else happening. And once you’ve finished one chapter, you have to get through the another one. And usually a whole bunch more, before you can say finished, and get to the next. The next book. The next thing. The next possibility. Next next next.
The career of Shane Sutton, technical director of Great Britain’s cycling team, took an unusual turn in April. As well as helping elite cyclists shave vital seconds off race times, he started advising two of the UK’s biggest asset management companies.
… Sports psychologists believe scoring a goal has far less to do with the hours spent rehearsing kicks and more to do with controlling the mind. In fact, Junior publicly praised the Brazil coach for hiring a psychologist who he believed helped keep him to keep cool in spite of the eyes of the world watching.
Now imagine you are an investor who keeps window-shopping for the right investment approach and doesn’t have the confidence to make an investment. How do you keep your nerve and commit? Perhaps, like Junior, seeing a psychologist might help….
Performance investing has enjoyed a remarkably long life cycle, but the costs of active investment are so high and the incremental returns so low that, for clients, the money game is no longer a game worth playing. Investors—both institutions and individuals—are increasingly shifting toward indexing. As acceptance of indexing grows, clients and managers have an opportunity to stop focusing on price discovery (which has made our markets so efficient) and refocus on values discovery, whereby investment professionals can help investors achieve good performance by structuring an appropriate, long-term investment program and staying with it.
The CEO of one of the world’s largest money management firms was puzzled. He wanted to know why there was a Bell curve for performance among his employees, with a few outstanding, most in the middle, and a few poor. After all, he hired only the best and brightest graduates from the top schools – shouldn’t they all be outstanding?