Lessons Learned from Golf That Apply to Investing
June 28, 2022
Golf and investing can show that sometimes you just get lucky, writes Peter Watson.
Golf has a lot to do with luck. Luck happens in golf, and it also happens with investing.
Several years ago, I played in a business golf event. We had a long time to hit as many practice balls.
I attempted several different strategies and got results that ranged from terrible, some okay, and the odd time the ball travelled further than it normally does.
The first hole was the longest drive competition. I did things that I don’t normally do and for whatever reason the ball exploded off the tea and went significantly further than I think I have ever hit.
Here’s the problem. I thought I had found the magic formula in hitting a golf ball. Turned out nothing could be further from the truth and although I tried replicating my magic formula many times over the following years, the results were always extremely disappointing.
Translating that story and the lesson learned from golf to investing can hopefully keep investors from losing money.
I do not believe people can be successful on a consistent basis as a result of short-term trading.
If you have initial short-term success at market timing on when to buy and when to sell, I offer you a huge and respectful warning. Please do not confuse your success with any special skill that can be duplicated.
Just like my lesson learned on the golf course. Recognize when good results are just your lucky day.
Peter Watson is registered with Aligned Capital Partners Inc. (ACPI) to provide investment advice. Investment products are provided by ACPI. ACPI is a member of the Investment Industry Regulatory Organization of Canada. The opinions expressed are those of the author and not necessarily those of ACPI. Only investment-related products and services are offered through Watson Securities of ACPI. Peter Watson provides wealth management services through Watson Investments. He can be reached at www.watsoninvestments.com