You are an Analyst!
The Analyst archetype is personified by Warren Buffett who carefully thinks through all the implications of an investment before putting a single dime on the table.
The Analyst may research an investment for months before making a final decision. He wants to understand as much as he can about any investment before he takes any action. But, the minute he DOES decide to act, he follows the 11th Winning Investment Habit and acts instantly.
Of course, not everyone who prefers the Analyst style invests like Warren Buffett. Far from it.
Every investment style that has, as one of its components, what is loosely called "fundamental analysis" requires the abilities of the Analyst. For example, the Trader who (like Soros) aims to profit from shifts in macroeconomic trends must devote a great deal of time to research so he can feel certain that the trades he enters will be profitable.
Similarly, the Trader who specializes in a few commodities or currencies; the arbitrageur; the investor who specializes in shorting stocks he considers overvalued...to be successful they must all have many of the qualities of the Analyst.
The only exception is the technical analyst or commodity trader who follows a pure Actuarial approach (see below). While this type of investor does not analyze any individual investment, he must, nevertheless, have some of the skills of the Analyst to research, develop, and hone his system.
(Note: Since you aren't displaying scores yet, you may want to remove or edit this next sentence) If your Analyst score is less than 50% it’s important to improve your skills and abilities in this area.
Summary & Next Steps
The Master Investors like Warren Buffett, Carl Icahn and George Soros can each act from all of these styles. Nevertheless, they each have a clear predisposition for one particular style. So, should you wish to be a great investor like them, you’d be advised to master all three styles even though you will primarily act from just one of them.
If your ambitions are not quite so lofty, it will pay you to be clear about the style you prefer. And to choose an investment area that’s compatible with it. One of the secrets of the great investors’ success is that they develop investment methods that are compatible with their personality.
This survey will, we trust, help you focus on the kind of investments that are right for you.
This questionnaire is based on my book, The Winning Investment Habits of Warren Buffett & George Soros. You can find more about the three archetypes of Investor, Trader, and Actuary there.
In appreciation of the time you took to complete this questionnaire, I’m sending you an invitation to receive an excerpt from the book titled: The 7 Deadly Investment Sins.
These are widely-held beliefs about investing that are hazardous to your wealth. Beliefs that Master Investors like Warren Buffett and George Soros emphatically do not share. I hope you enjoy it!
If you have any comments, questions, or feedback of any kind we'd love to hear from you. Just email ipp@marktier.com.
PS. PLEASE NOTE: This report has also been emailed to you. But as occasionally people have reported that the report doesn’t display properly in their email program, I suggest you keep this window open until you have checked your email.
PS. My Investment IQ Test is a companion to this one. You see your Investment IQ compared to that of Buffett, Icahn and Soros — and get a 9-page report, based on your answers, to help you implement the 23 winning investment habits in your own investment. Take a look at My Investment IQ Test.