It’s friday night and two groups come into the bar where you are sitting. They turn out to be from competing companies. One team is happy. You can hear them talk about how well everything is working. They believe in what they do and they have great contact with their managers. Work is flowing in a great way. The other group talks about much better it was a few years ago.
At this point you may be making a mental note to yourself to buy from the first group. It would be more fun working with them. Also, chances are they come up with better things. Everything is easier when you’re enjoying a nice tailwind forty hours a week. Then you realize both companies are listed. Which of these companies would you invest in?
That is how simple my investment strategy is. I followed 30 publicly listed companies for ten years in order to find the proper method, and I used engagement survey data to operationalize it. but the basic idea is as simple as listening in on whether people are working in a tailwind or a headwind.
Still the financial market finds this idea quite alien.
So, to prove my point, I’m investing in companies like the happy gang in the bar above. My analyses indicate that in two years the stock of these companies rise in value about 2,5 times better than where the flow at work is decreasing. In one year there is no significant change.
So far my portfolio is performing exactly along that pattern. It started off following the relevant stock market index (the OMX30) but now the improved flow is starting to make a difference in terms of innovation, sales, productivity and other numbers that the market likes. That lifts the value of my portfolio.
My low risk portfolio
I expect to keep beating the stock market for as long as nobody else is doing the same thing.