The Only Thing to Do Is the Right Thing Right Now

The past is an odd thing.

Here are 3 principles to help you manage today in light of yesterday.

Keep a dispassionate relationship with what's come before...

→ in life

→ in business

→ in investing

Take what's good

... and ...

Let go of what's unhelpful

History has so much to teach us.

Humans don't change all that much.

Instinct can only take you so far.

→ So the past is a decent guide to study.

We should use DATA and INFORMATION to make better decisions.

- That's what trained scientists do.

- That's what serious business people do.

- That's what lifelong investment professionals do.

So...

Learn from history books and be HUNGRY for:

→ data

→ information

→ and context.

"Those who cannot remember the past are condemned to repeat it" - George Santayana

The parts that you get condemned to repeat?

I don't think were the good parts, in Santayana's mind...

Do NOT get trapped in yesterday.

The past can become a prison, or at least a torture chamber fit for one:

→ In BUSINESS, you can find yourself kicking yourself for not making that deal yesterday, or for spending money on that project before the circumstances changed.

→ In INVESTING, wishing for yesterday’s prices won’t bring them back...

By the same token, going full steam ahead with a pre-ordained decision when the facts have fundamentally changed may be a quick fix for regrets TODAY...

But it can easily sow the seeds of FUTURE regret.

They call that the sunk-cost fallacy: basing today's decision to excessive attachment to what was done yesterday.

Kicking yourself NOW or kicking yourself LATER?

Some choices are best sidestepped.

Where does that leave us?

The only thing to do is the right thing right now.

3 principles: learn from the past; operate in the present

Do these 3 things as much as possible.

It's hard.

But it's worth it.

1. Check yourself against behavioral biases.
2. Be analytical and dispassionate in the face of changing circumstance.
3. Operate from a place of “WHAT IS” as opposed to “WHAT SHOULD BE.”

This is why transparency and a commitment to direct communication matter so much.

It’s all too easy to confuse CONSISTENCY with AUTHORITY...

(Branding 101 calls for saying the same thing over and over again. Somehow that’s what the recipient’s brain responds to best)

However inconvenient, the pace of change in one’s analysis and conclusions must be equal to the pace of change in the world.

Sometimes, the pace of change is slow. There is “nothing to see here,” and nothing new to say.

And then, sometimes you have to say, “You know the thing I told you yesterday? Things have changed, and that leads me to think the opposite today.”

→ It takes real hard-earned trust to have that conversation.

?? Here's how I can help you.

1. Follow me on LinkedIn for more insights: Jonathan Treussard, Ph.D.
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Disclaimer: Treussard Capital Management LLC is a registered investment advisor. This content is for educational purposes only and does not constitute financial advice. Investing involves risk, including potential loss of principal. Please consult a professional before making decisions. Any statement that may be seen as forward looking is not a prediction, but exploring a scenario, which may or may not happen in the future. For more information and full disclosures, go to www.treussard.com .