As we continue with with our focus on the value of investing frameworks, we have been studying external research on the topic and came across this excellent paper from Nicolas Sordoni, CFA, a Director at Lazard Investments.
This piece of research looks at how the implementation of an investing framework improves decision quality and impacts returns.
Sordoni’s conclusions mirror our IOI point of view that frameworks improve investing results by minimizing bias, maximizing insight and creating an independent, kind of absolute value way of evaluating an investment idea. As serious investors who are engaged in our results, such a tool as real and present value.
If you are having any hesitancy about the rewards to those who are able to put the time and effort in to learning from others and developing a good investing framework, this research paper should help allay those concerns.
In the meantime, Invest Intelligently.