Have you been seriously tracking, measuring, and visualising your portfolio performance (XIRR/CAGR)?
If we strongly believe that investing is a process and our portfolio is Always Be Constructing (A.B.C); then like any processes they have to be tracked and measured for continuous process improvement so that we can achieve our expected output targets with the specified inputs.
A complete investing model with feedback loop for continuous process improvement
When our output i.e. wealth level from our investing process is below our expectation, we will have to seriously review it.
Is the investing process not working well or we have not been supplying reasonable level of input for the process to generate that expected level of output?
No input how to have output even we may have the best investing process in place?
Track, measure, visualise is an important component for the entire investing process model to work well. If you have not been seriously doing this feedback loop for your portfolio, start doing it this weekend.
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