The Secret of Perception
Scenario and methodology,
Michael Steinhardt is a Wall Street character. A hedge fund manager, he became president of the empire today called WisdomTree Investments in 2004.
Some scandals, which have taken place in recent years, have not clouded his image as a great performer of the markets, where he certainly seems to have more luck than with his relationships.
Michael was one of the first, probably the first, that I know of, to speak and explain what Perception was. And how this was the real key to his success.
His well-known irascibility was an almost obvious consequence of his natural predisposition to see things outside the common consensus and thus to be difficult for anyone around him to understand.
The Perception is precisely a way of seeing the world by strengthening and exercising their knowledge and culture, to acquire the ability to "perceive beyond" the current reality, creating their own vision, which then manifests itself as the correct one.
In his own words:
“Perception is the effort to become sufficiently informed on any topic, which at one point differs from the consensus, because one of the few sure ways to make money in the market is to have a vision that is outside the consensus and that that opinion turns out to be correct".
Soros said: the common misconception is that markets are always right. And he argues that markets are always wrong and therefore his empire building is based precisely on a Perception with respect to the common consensus.
It may be a coincidence, but if you look at many characters who have created great fortunes, you can certainly go back to this concept: see beyond what surrounds you, strengthen your culture to understand what comes next, this is the way to beat the markets.
In times of crisis, our perception is clouded by what surrounds us. We will probably not invest in airline, cruise or tourism stocks. But if we look further, an investment in a project could solve a problem and within two years those titles could provide great satisfaction. I do not advise buying these titles: but "perceiving beyond" is the real secret.
In crisis times, it is not common to have this type of perception. And behind a misperception, there may be a serious risk of loss.
Coordinating Department of Journalism