The Intuitive Investor
The Intuitive Investor
Welcome to the Intuitive Investor: A Radical Guide for Manifesting Wealth . It is my feeling that every investor is capable of earning outstanding returns on their investments. Yet, to my knowledge, no investment book has yet been written that fully addresses the most critical topic for generating those outstanding returns, namely the right brain's creative and intuitive functions.
To be clear, the right brain is understood to be the portion of the mind that handles organic, multi-dimensional, creative, and intuitive processes. Whereas, it is understood and accepted that the left brain is the portion of the mind responsible for linear and analytical processes.
Functional Differences Between What has Been
Termed the Left and Right Brain
The rigid divide once believed to exist between the left and right hemispheres of the brain has been convincingly demonstrated to not exist. In fact, full functionality is spread throughout the entire brain. Specific functions are not limited only to one hemisphere or another. However, the functional distinction suggested by the terms left and right brain are still important. Thus, in The Intuitive Investor the common definitions of left and right brain are used.
It turns out that some of the greatest problems faced by investors are neatly addressed by a fully functional right brain. For example:
Developing new investment ideas
information that will truly affect your investments
investment risks before they occur
financial market bottoms
the future competitiveness of a business
the products of a business
the management executives of a business
the "mood" of the financial markets
Knowing when to buy and when to sell an investment
If you have been investing for any length of time, you know that these are all critical challenges for the investor that can stand in the way of your success. In fact, it's my estimate that these issues are fully 95% of the "analysis" that is important for making good investment decisions. What's more, they have nothing to do with crunching numbers. Instead, it is the capacities of the right brain that are utilized to evaluate these factors in a carefully discerning way. Rest assured these are the considerations, among others, that lay at the heart of this book. So why hasn't the right brain received its due respect?
One of the reasons that the right brain has not received its due respect is because of the seemingly ephemeral nature of the right brain and its creative and intuitive functions. Because creativity and intuition have defied easy description, business school professors, business executives, investment managers, asset traders, stock brokers, and authors of books on investing steer clear of talking about and working with the tremendous capacities of the right brain. This prejudice means that the majority of investment analysis is done using "hard" data. That is, the stuff that is more tangible and that seems more real.
Massive overemphasis on hard data analysis and its generic, boilerplate answers means there is tremendous expert scrutiny of a very limited amount of numerical and, in some cases, verbal data. Within moments of uncovering any perceived financial advantage in this process, any potential for out-sized returns is lost by the individual investor because the scrutinizing pros bid up the price of investment opportunities through rapid-fire buying, often involving super computers. This rabid competition is even difficult for most investment professionals, who ironically underperform the stock markets routinely. But by definition, if you want to earn returns better t