I try to get to one great conference a year and one of the best is a large alternative investment forum in Las Vegas. This is where the ‘who’s who’ of the financial industry gather to share ideas. It is not very often in one’s life that we get to be in the company of billionaires. Millionaires yes, but not billionaires. I always prepared for these events to be humbling experiences, as we always think that the wealthy are somehow very different. But it is not true.
They share many of the common beliefs of the entrepreneurial clients that we work with – set goals, stay in control, keep it simple, and measure everything. Their wealth was not built on all or nothing bets, or on one time projects. Instead they seemed to mention that the most important component was having a repeatable process, usually involving a sustainable cash flow advantage. Whether buying real estate, selecting stocks, or expanding into new business areas, they had figured out a formula that was repeatable.
This was a reassuring message since we already try to focus on process when managing our investment portfolios here at Salute. If you design and manage your process well, the outcome will take care of itself.