More on Waiting

More on Waiting

Ninety-nine percent of your time in the market there is nothing to do. Okay maybe that’s not true. You can always conduct some research into some investing ideas that might interest you, but as far as buying and selling goes there is literally nothing to do…unless you’re a trader of course. But trading isn’t easy. When you trade stocks, the ground is always shifting below your feet. If you’re not careful it’s very easy to find yourself lost and out to sea. I’ve found from experience that the fewer decisions you have to make in the market the better off you will be.

Proper investment is a process in time. And likewise you should try to seek out management teams that have that same mindset. A management team that walks away from an acquisition target because they didn’t get the price they were looking for is telling you something about themselves. They are careful and responsible stewards of their shareholders capital. That’s the type of management team I want to partner up with.

Essentially waiting involves getting a leg up on your competitors (other people in the market) by delaying or postponing an action until you have gained a certain advantage other them. Waiting, then involves discipline, self control and a certain efficiency in mastering yourself so as to allow yourself  to take money out of the market in the long term.   

Waiting is a mindset that in time will allow you to align yourself with great management teams that are in the game to expand the shadow of their corporate reach and create value both for themselves and their shareholders.