On success in any endeavour
I had stumbled on a quotation by a Mumbai based investor, Chandrkant Sampat, which looked like “Only thing an investor needs to be successful is to dream”. I could not relate and agree with it. Must have been clear as whistle in respected thinkers mind, but did not stike a cord with me. It seemed over simpification. Nevertheless it struck and stayed with me that I do not concur with this quotation. Afterall, day dreaming does not amount to success.
Analogous situation happens with other folks who arrive at any adroit art with mastery but forget the means and unable to explain complete process. Patanjali had to think and trace back for yonks to explain how he arrived at that mental state before he could pen down Yoga Sutras. Once an ace hitter reaches wizardry in performance, he forgets the circuitous means by which ability was accomplished, art form is expressed effortlessly as breathing or walking.
Recently another quotation I chanced on by Einstein, was completion for the one that I read few months back “Imagination is more important than knowledge”. I believe this one is more complete. He also opines that he is not necessarily more scholarly, gifted, sharp or genius, he simply dwells on the problems longer.
I believe dwelling on the issues, asking right questions, ticking off checklist like Pabrai and then pulling the trigger makes for good investing.
Also, investors do not change their styles. Once discipline to avoid scores of bad stock ideas, patience to wait for right idea and judgment of a prospective idea is established, investors do not change their styles overnight. A gradual transition is likely. Patient value investors stay like that, growth seeking investors act differently, traders perform same tricks as work in past. Unlike chameleon institutions which pull out new rabbits from the hat, are best expressed by Groucho Marx, “These are my principles, if you don’t like them, I have others”.
Update on Positions
Hold on Relaxo Footwear
If one has significant part of net worth in stocks, this would be good time to park 30% in FDs.