While having coffee with a fellow investor in downtown Mountain View last week, we got to discussing our investment process and it was interesting that while both of us preferred event-driven strategies like merger arbitrage, the process could best be described as opportunistic without being siloed into a specific style. I discussed this approach in an article titled A Season For Every Strategy a few weeks ago.
A lot of what we do as investors could be best described as pattern matching. We are constantly looking at new opportunities or existing positions though the lens of our past experience and using current information to see if we can spot familiar patterns. As humans, we are prone to making mistakes and our pattern matching process is likely colored by,