Changing Investment Stylesby Robert Olstein
Changing an investment style to the latest fad produces the same result as changing lanes during rush-hour traffic jams: You increase the risk of an accident with little chance of achieving better results. The psychological pain of sticking to your guns, though, is tough. I was up 35% in 1999 but had people telling me I didn’t have enough technology in my fund and they were taking money out. This is not nuclear physics, but it’s hard to stick to your guns when the crowd’s running over you. We don’t believe value investing is ever out of style – it just doesn’t work all of the time.