The Investor's Advocate: Causality Modality

Using the Principles of Causality to Increase Your Portfolio's Value

Have you ever heard of "Causality Investing"? If not, you might want to familiarize yourself with this investing style by reading "The Chain Game" (http://www.howtoinvestblog.net/2017/07/the-chain-game.html), by Anthony Rhodes, the owner of wealth management firm The Planning Perspective (www.theplanningperspective.com), and pioneer of this discipline, on his How To Invest blog (ww w .howtoinvestblog.net).

"I settled on the term causality, because it best describes the sequences of the system." he opened. "All investing relies on causes and effects to some degree, but this style delves a bit deeper than the customary profit or loss dynamics which are inherent within traditional investing." he added. "I suppose it could be viewed as a form of investing calculus, but titles with mathematics in their names are often considered intimidating to your average reader, so causality will have to suffice."

The technique involves the association between corporations and the unseen links (economic and otherwise) which contributes to their bottom line.

"The post begins with an introduction to what I call alpha links (links which directly associate a single event to a particular company), but the technique could expand to beta (two companies), gamma (three companies), or delta (four or more companies) links, as well." he explained. " The exciting aspect of this discipline is that after using it for a while, your mind's eye begins to visualize this entire system of networks whenever the seed event occurs." he added. "With practice, you'll start to envision the inter-connectivity of all types of goods and services, which should ultimately make you a better investor." he closed.

(Copyrighted material. Do not reproduce without permission.)

Comments

The Investor's Advocate: Flawed Successes

A Glitch in Nature's Matrix Provides Golden Opportunities for Investors, and Everyone Else Is there a flaw written within the very coding of nature which makes it susceptible to exploitation? And if so, how can it be utilized to increase the performance of your investments? To find the answers, you should read a posting called "Rewarding Repetitions" ( https://www.howtoinvestblog.net/2021/07/rewarding-repititions.html ) by Anthony Rhodes. It's a recent addition to his popular How To Invest blog ( www.howtoinvestblog.net ). Mr. Rhodes is the owner of wealth management firm The Planning Perspective ( www.theplanningperspective.com ). "In this particular case, Mother Nature may actually be a victim of her own success." he began. "Once nature discovers a method which proves to be successful, she, like all of her offspring, seeks to replicate it, and these replications can produce certain opportunities." he added. " But these opportunities onl

The Investor's Advocate: Hibernation Nation

A Stubborn Pandemic, Rising Inflation and Customary First Quarter Conditions Makes This Winter Season Unwelcoming to Say The Least...and Opportunistic With both Omicron variant cases and prices for just about everything else on the upswing, are you looking forward to a winter comprised of burrowing yourself and family in the home until safer, less inflationary conditions eventually arise? Well, what if I told you that this environment may actually be ideal for a particular type of growth that will get you out of the house and mingling throughout the entire winter, and assisting in the growth of your portfolio while doing so? Would you be interested in learning more about it? If so, you should definitely read an essay entitled "A Financial Cure for The Post Holiday Blues" ( https://www.howtoinvestblog.net/2016/11/a-financial-cure-for-post-holiday-blues.html ). It's a post within Anthony Rhodes' popular How To Invest blog( www.howtoinvestblog.net ). Mr. Rhodes is t

The Investor's Advocate: Impulse Control

Remaining Focused During Unpredictable Events is Key to Investment Success Has recent events caused you to feel a bit...anxious regarding your portfolio? If so, then you might find an essay entitled "Anxiety Notoriety" (https://www.howtoinvestblog.net/2019/06/anxiety-notoriety.html ) helpful. The posting is one of the many useful resources available to investors at How To Invest ( www.howtoinvestblog.net ). The blog is authored by Anthony Rhodes, who is the owner of wealth management firm The Planning Perspective ( www.theplanningperspective.com ). "Sometimes, when it comes to our investments, we van actually become our own worst enemy." he began. "Especially during unpredictable events such as those we've been experiencing recently." he added. "Our impulses are telling us to behave in one fashion, and our intellect, another, and oftentimes it's the magnitude of the event which wins out." he f

The Investor's Advocate

Search This Blog