Do You Change Your Lane?

Every time we are stuck at traffic lights and we see various lanes and everyone wants to reach their destination at the earliest but does it make sense to change lanes because it hardly makes any difference in time?

No, right?

But still, many of us do this while we are stuck in traffic, if even for a few seconds we see our left lane running regularly we try to shift our lane so that we may not miss the opportunity and remain stuck in traffic (This is a FOMO – Fear of Missing Out).

If the traffic light turns green, it will eventually give way to everyone, if not in the 1 go maybe in the next go, so how much difference does it make if we remain in our lane? Hardly by a few minutes.

Do you know if everyone here agrees with me and promises me you will not change your lane for next time, what will happen? The overall traffic will improve and you will eventually reach earlier.

So are traffic lights or different lanes causing delays? or everyone’s hurry is causing the delay? The answer is in the latter one.

In Investing

You must be wondering now Gurpreet generally you share stories related to investing why today stuck with traffic lights. I agree, but let’s now dive deeper and understand the correlation with investing.

In Mutual Fund investing we generally diversify the portfolio in different categories of funds and today one of our investors called me and said Gurpreet this X fund is performing better than all the rest 4 funds you have given to me. So kindly shift the other 4 funds to this X fund.

You won’t believe 3 years ago this same investor called me and said this X fund is performing worst among all so kindly shift this to some other funds to which I denied that time as it was a part of diversification sometimes some cycles do well and sometimes others do well.

I reminded him today about the same story I told him why you are talking like a guy who regularly changes his lane in traffic lights in a hurry to reach earlier but in reality he delays his own as well as other’s time to reach their destination.

He quickly understood my point and said you always convince me with such logic Gurpreet, I said I know because that is my job to manage your behavior along with investing. He giggled then we disconnected.

I shared this story with you so that you can also understand this point and giggle 🙂 and don’t think of switching lanes or your funds if they are adequately diversified.

* * *

If you like this post, please do share it with others, and also Subscribe to My YouTube Channel.