Everyone thinks businesses (and investment portfolios) should be managed for the long term…. until there’s a bad quarter. The pressures of short termism have been widely noted, but now there is some empirical proof that longer term management really does pay off.
I know, I know, your analytical brains are lighting up with questions, and rightly so!
If a company is like a garden, sure, you want some pretty annuals to brighten the current season. But it’s those shade trees that really matter over time.