Does meditation boost investment returns?
If you are contemplating looking for a fund manager to manage your investments, maybe you can consider looking at their calendars and figure out if they have a meditation slot.
A 2018 study in a Thai interdisciplinary journal proved that investors who meditated regularly ran portfolios that gained more than those run by traders who didn't meditate or meditated less intensely.
Ray Dalio credited much of his success leading the world's largest hedge fund to something simple: a daily meditation practice. Twice per day for decades, the billionaire closes his eyes and repeats a short mantra in his head for about 20 minutes.
The investor and entrepreneur Sam Altman also stick to a consistent meditation routine: He has said meditation mitigates his "crippling" anxiety and transforms his decision-making. It has made him calmer and more joyous in and out of the office.
Daniel Loeb and Paul Tudor Jones also start many days with a calm meditation.
In an investment world of news, notifications, and constant price updates, some of the best investors love to meditate to release tension. Many also say it improves their decision-making.
The study collected data from 226 retail and professional traders, concluding that intense meditation was associated with better discipline, particularly not overreacting to news and panic selling.
But the biggest reason investors meditate is to reduce stress. Plus, meditation can increase metacognition, the awareness of one's thought processes. This could help assess the quality of your decision-making.
There is no "perfect" way to meditate, and it isn't a quick fix promising instant happiness. Like any worthwhile pursuit, it's a long-term process that requires patience. Find what's comfortable for you.
Cheers!
End-Week Wisdom:
"The best way to minimize risk is to think." - Warren Buffett
If you want to know about something related to finance, or have any queries:
Please drop us an email: advisoira@gmail.com
Create your financial plan in less than 3000 Rupees: Visit Website
You can also follow us here: Twitter, Linkedin!