Discerning the Growth of Value from Noise
How it Works
We are independent thinkers, neutral, and calm against market g-force.
Think through and thoughtfully skeptic, unconventionally.
Why it Works
As Keynes mentioned in the 30s, the group following behavior is structurally built in the system. An event-driven and short-term price reaction analysis is widespread, and risk management is measured by the records of performance and/or downside protection even on a daily basis.
That led to a deviation of the duration of risk between public equity investment and private asset investment, which is priced not by the market mechanism.
As the financial market is full of those biases and dynamism mixed with both reflection of intrinsic value and price-oriented volatility, it is easier said than done to keep distant from crowds and careful about bias in public markets. We behave as an observer of the market dynamics and mechanism and identify its structual flaws from outside, and we do not engage in that dynamics using the same playbook. We just look at it and let it appear, grow, flow and go. We look at the future beyond the usual noise. Sometimes the market temperature is not stable. We think what is critical for long-term investors is whether the market keeps a self-control capability to adjust temperatures over time, not whether the market itself is hot, warm, cold, or cool.
However, we have to mention the growing trend of herding bias multiplied by online social activities, which intuitively believe in the large numbers as reliable proof (such as LIKES numbers). Structurally, it leads to biased herding judgment by many that we have observed already in the domain of political opinions.
As both an independent advisor and thinker, we focus on long-term on our fundamental thoughts and carefully keep calm under market g-force. We think our approach differentiates our portfolio equipped with diversifying & complementary nature in the entire portfolios.