44 THE INVESTOR
simply pick out the facts. Then try to logically explain the flow of
causation in the story. What was the chain of events? Successful
investors react to world disasters with a detachment that seems
unconscionable. Again, imagine Mr. Spock from Star Trek and his
logical mind. He focuses on the goal and which steps will lead there
most efficiently, leaving out the human emotion factor.
Another exercise that feeling types could try would be a list of
pros and cons. Instead of using gut-feel to make a decision about
a stock pick, write down the pros and cons. Write down your rules
for buying stocks. See if the particular stock meets the criteria you’ve
selected. Make the exercise as precise and mathematical as you can.
Show it to a strong thinking type and see if it makes sense to her.
Does the conclusion follow logically from the premise?Judging and Perceiving: Stretching Exercises
The final scale is characterized in the vernacular as anal-retentive
versus slob; think Felix and Oscar in The Odd Couple. The strength
of the former is organization and discipline; the latter’s strong suits
are flexibility and openness.
The weaknesses are apparent. Judging types can be too rigid,
too attached to the old ways. Many articles in the financial press
lately have pointed out that the old valuation techniques don’t work
anymore. People who buy AOL or eToys aren’t playing by the same
old rules. The inability to change can hurt performance significantly.
The Wall Street Journal ran a story about a mutual-fund manager
who uses a value approach to stock selection. He looks for “cheap”
stocks. His portfolio has been underperforming and the money in
his portfolio has shrunk from nearly $8 billion to about half that
in two years. When asked about the high-flying technology stocks,
Mr. Sanborn’s reaction is typical of someone with a preference for
judging: “The thought of buying such overpriced shares is some-05 ware 44 1/19/01, 1:06 PM