April 27, 2005

There Is a Holy Grail

Well, There Is a Holy Grail: Having a Good Decision-Making Process. So why spend time on developing a disciplined systematic trend-following approach relative to other approaches? Because more important than the attempt to find the magic formula, trend following is an effective method for making good investment decisions. It is this process of making good decisions that in and of itself is the Holy Grail. When done effectively, a good approach will stand the test of time and allow for flexibility with a choice of decisions. This discussion concerns not the how of trend following through specific models or formulas, but the why of trend following as a decision process for solving problems.

Mark S. Rzepczynski, PhD