A winning strategy for growth investors during uncertainty

Today, we wish to frame the current debate about "growth" investors, who wish to achieve sustainable and clear-headed results in line with their aspirations. From our perspective, everyone is an "investor" because we all invest time and sweat equity into every project or challenge we tackle. Furthermore, everyone has aspirations. Nobody wants to be doing the same old same old forever (nor should you).

To achieve our aspirations, we need to rethink our sense of market dynamics and rethink our portfolio engagement model for any activity we take part in. Here’s how we believe that you can thrive in a challenging environment.

Start with a cogent strategy

A dynamic strategy starts by asking the right questions. We live in a world flooded by challenges that have only grown since the pandemic. However, we believe that your growth and career sustainability are workable. Please note however that there are no easy answers and that pragmatic solutions can vary from person to person depending on your location and overall narrative.

Our challenge reminds me of a story about a wise influencer who teaches positive psychology by harnessing unorthodox business training methodologies. Because she has seen how seminar participants can lose the plot, DA teaches by direct experience and does not reiterate pages from dusty textbooks or case studies that anyone can read online.

The case of the bushy-tailed business student 

One bright morning when DA's crowd arrive all bright-eyed and bushy-tailed after a long weekend, she opens a manilla box, which sits next to her sac dépêche. From out of the container she pulls a bright and dazzling stone the size of a goose egg. Eyeing the crowd, she chooses one member from among the social impact investment group focused on making sound judgements.

“Go to the marketplace just across the street. Query all the dealers on how much they will be willing to pay for this rock if we decide to sell. Write down every offer. On no account, sell the stone. When you are finished with your investigation, write a brief, tell us what you learned, and then we will evaluate the data you culled together.”

The MBA candidate humbly nods, and takes his iPhone and paper, heading to the door. He finds this case study on growth investment perplexing.

“Remember, on no account are you to part with that stone“, calls out DA.

Our budding business maven is a sharp hombre determined to foster a stellar career. He carefully shovels the merchandise into his Eastpak. He is enthralled to be a key player in this simulation. His first port of call is a potato dealer and not just any seller of tubers, but who specialises in rare species from France. His stand sits just at the entrance to the vegetable market. The dealer takes one glance at the item and said, “I’ll give you two kilos of rattes.”

Growth investment is a journey, not a destination

Now as everyone knows, the ratte is a member of the solanum tuberosum family and is widely cultivated for its edible tubers. This starchy oval potato can have brown, red, or purple skin. It is customarily cooked and eaten in multiple ways.

As I was saying, the boy dutifully scribbles down the merchant’s generous offer on his mobile device. Next on his list is a Changthangi herder known for his cutting-edge investment skills and profitability acumen. As he approaches, the wizened merchant scratches his chin quizzically. Moreover, he retorts, “I can let you have a flock of 20 pashmina bearing goats tomorrow morning when I bring them down from the hills.”

Once again, the boy jots down the relevant information. This continues for a couple of hours. He must have visited just about everybody in town. There is only one more visit to be paid. It is considered the finest jewelry shop in town and is run by Antonio, an Italian gentleman from Naples. Once he is buzzed into the premises, he states his business and is offered an espresso. A specialist comes over. He greets the boy, and they sit down together.

“Now show me, my lad, the item in question.” So the student complies. The jeweler takes his time, measuring the carats, the size, texture, and clarity of the stone before responding. “I’ve never seen a diamond like this in all my life. It is gold like the sun and absolutely flawless. I can offer the owner $5m and arrange the necessities of the transaction.”

The management student nods his head. Upon returning to the teacher at the appointed hour, he notices that it is snack time. Everyone is seated in a circle. The student approaches the sage, gives back the stone, and surrenders his research. Despite the time factor, the professor goes through the Big Data, smiles, and shares the analytical findings with the class.

"So what can you conclude?", asked the soft but irresistible voice.

One wise guy in the crowd puffs up his chest and says, “That everything in the market can be bought or sold.”

However, there is disagreement in the ranks, but at the end of a healthy discussion, the students felt stymied, and so DA, chairing the discussion breaks in.

“Understanding this diamond is not about price. It concerns the principle of self-worth and stands as a symbol of the human heart. You can sell your skills and abilities for a farthing or you can wrangle millions like a CEO. However, self-worth does not carry a price tag because you are priceless. Valuing your true nature is never a question of social connections, physical beauty, or job titles. Why seek to validate your authenticity, when you are already the diamonds that you seek.”

All that glitters is not gold

Do not confuse net worth with self-worth. This is fallacy believed by many who claim to practice "growth" investment. Everyone has fallen victim to this one at some point in their lives. The temptation to upgrade our lifestyle is driven into our consciousness under a steady barrage of advertising. Why? Because we all seek to appear irresistible like celebrities. Why are we so enamored? Because we have conned ourselves into thinking our lives are ordinary and unexciting. We support this false assumption with a little shopping therapy hoping to buy our stairway to heaven. Clearly, this is not the best way forward.

Real growth investment means embodying the traits, which radiate positive and sustainable results. Start by respecting yourself. If you don’t respect yourself, you clearly won’t respect anyone else.

Identify what motivates your actions

Motivation is key because not all people are motivated the same way. Some are motivated by power, money, fame, or glory. However, there are others driven by sustainability, working without any thought of ROI, and inclusion. From this position, you can steer your path on a road to equilibrium as well as benefiting others. The Buddha was no dummy on this subject. His direct experience taught him the value of letting go of everything we do not need and consequently shared his wealth in a spirit of total inclusivity.

If it’s rock star status that motivates you, fine. Just recognise what Voltaire once warbled to one swell at a cocktail-networking session: “The cemetery is full of very important people.” Adjusting your behaviour to accommodate people according to your environment is one thing. Denying your authenticity is another. The best winning strategy for "growth" investment is to help others. When you reach out with an open heart, your objectives are met with clarity and authenticity. Here's another little known secret: The best investment you will ever make is in your Self.

About The Author

Andrew Scharf is an award-winning MBA Admissions Consultant and Executive Coach ?? Aspiring professionals and top performers have widely recognised his work. His mission is to inspire, empower, and connect people to change their world at Whitefield Consulting. Have a professional project you would like to discuss? Send him a DM.