Remember Indiana Jones and the Last Crusade?
When Indiana gets to the cave where the Grail is kept, he’s confronted with an array of choices. One brings life, the others are fatal. His only aid is his understanding of history and a little common sense. He did okay. His rival didn’t fare so well.
That’s my theme for 2010: choose wisely. Confronted by volatile markets? Choose wisely. Finding unforeseen risks? Choose wisely. Facing various political or personal choices? Choose wisely.
Our sources of wisdom can be varied: from detailed quantitative number-crunching to reflection on our own evolving circumstances and needs; from understanding the insights of the classic texts of Civilization to applying the methods and models available via Bloomberg and Graham and Dodd.
What’s necessary as the economy develops and the markets gyrate is wisdom that comes from self-understanding and detailed analytical knowledge. In 2010 the variety of choices we face will expand. It will be necessary for all of us to increase our wisdom.
Indiana’s rival was undone in the cave because his ambition got the better of him. But a little common sense and knowing the context will yield wisdom in the end.
Douglas R. Tengdin, CFA
Chief Investment Officer
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