Before making a move, the experienced chess player asks three pivotal questions. Where am I now? Where do I want to go? How will this move change the game?
Asking these questions will not only make your chess game better, but your investment game plan as well. How often have you asked yourself these questions before a major decision? If you’ve never asked these questions, why haven’t you? Asking the right questions is the only way you can properly assess your options.
Human nature is simply averse to learning answers that may challenge pre-existing positions. Yet, in order to cultivate a habit of good decision making, we must live in soft dissent of all we think we know. I say “soft” because good decision making doesn’t require you to walk around questioning every minutia of daily life. However, there are times when weighty decisions should be taken through a series of checks and balances before committing to a course of action. These checks and balances should include:
• Evaluating the premise upon which the decision is to be framed
• Avoiding premature commitment to any course of action
• Avoiding gathering data that supports our bias
Despite what you may have heard, people can change and frequently do. No change is more valuable than learning to make better decisions in every area of your life.