When putting money in market’s, there’s uncertainty. It’s no wonder some of us look at investing like attending a Casino.
It’s at least half true – it’s a game of chance.
The other half, of course, is doing everything you can to get lucky.
I don’t recall watching much TV as a kid, but I do remember spending a lot of time outside. Either semi-desert alpine Northern America or East Coast New Zealand farmlands and beach.
I used to explore or ride dis-used forestry trails in British Columbia – Canada.
Rainbow trout, at certain times of the year, could be found in the remote lakes only discovered by the clear cut loggers. Fly fishing from the lakeshore could produce quite the snack. I recall my Dad wishing me luck on such fishing expeditions – “Tight lines, and Straight shoot’n, kid”
Some kids get the Dad jokes, but all I got were obscure references to hunting and fishing shows.
It turns out, my Dad was quoting Ted Peck, a Canadian outdoorsman from a show called “Tides and Trails” that ran from 1960 to 1966.
Ted Peck would sign off every episode with his signature phrase “tight lines and straight shooting“.
Tight lines of course refers to the tension on a fishing line when you’ve hooked a big one. It’s an acknowledgement that sometimes in life there is a bit of luck involved.
Straight shooting, on the other hand, is a reminder that when conditions are right, you better be prepared. Put together, it’s a way of saying, ‘Here’s to good luck, but don’t forget to bring you’re A-game.’
Investing money in markets will produce uncertain results, but that doesn’t mean there’s not an extra reward for extra work.
Here in NZ, we’re getting really close to the time of year when Snapper frequent the waters near our home. Over the last couple weeks, I’ve been heading out on the waters when I can with long lines and rods, using fancy lures and simple bits of squid as bait.
I’m doing all I can, hoping for tight lines.
There are, of course, profound parallels here with fishing and investing. We can learn how to invest well, but in the end, it depends on something we don’t control: The market.
Fish and other wild game, all have different seasons. Asset classes like bonds, equities, and alternatives are no different. Showing up with the best equipment during the right season improves the odds of success but ultimately, the fish don’t have to show up.
No one can guarantee investment returns, because no one controls the market. Showing up with a strategy and knowing which market to fish in at the optimal times significantly increases your chances of success
Check out this conversation with Mike Taylor, CIO and founder of PIE Funds. Sometimes, the best fishing spots are where you caught fish last time and so we’re talking a little about the year that was, and making assumptions around the year that WILL be.
