Lessons from Cricket for investors

By Ramesh Akkineni

There are lot of similarities with test cricket and investing... both need patience and discipline in addition to skill... it is the attitude that counts in both of them... if you want to be a good investor a good place to start is to watch test cricket ..

From Indian Batsmen:

Langer described India's batting as "extraordinary" and said he could not recall playing a side that was batting so well. "We can learn something from the Indian batsmen. They look so patient. It is almost as if they are in a meditative state. It is awesome," he said.

Patience is needed for investors... They have to wait for the investment to grow and they have to believe in their conclusions...

From Tendulkar:

"I just decided to keep things simple," Tendulkar said when asked at the press conference later if had decided on a game plan. The feature of his innings was a scrupulous denial of scoring options between the arc of mid-off and point. He refused to be baited by balls bowled outside his off stump, biding his time as VVS Laxman uncorked his magic, working the percentages and taking full toll of anything pitched on his legs.

"I had got out a couple of times to balls bowled outside the off stump," he said, "so I decided not to play that stroke (the cover-drive). They were bowling consistently outside the off stump, and I decided to leave all those balls. Then they had to bowl to me and I used the pace of the ball.

"I would put this innings right at the top of my hundreds. I had a plan and I am happy I could execute it well. I am happy that I was able to maintain the discipline throughout the innings. Things had gone wrong a couple of times with my shot selection, and I knew I had to cut out a few strokes."

We have to be very selective in investing... we have find out the limits of our knowledge and stay within those limits while taking investment decisions...

From Laxman:


Tendulkar said this about Laxman "When he came and played all those shots in the morning, I decided it was best just to watch and enjoy his batting, rather than trying to do what he was doing."

We have to see what we have to do, and not take risks because others around us are taking them and suceeding...

"I tried my best as an opening bat, but I think I did not live upto my own expectations".

"I was not very comfortable while opening the innings. I always had the feeling that I was trying to do something which I'm not really made for,"

Laxman also informed that they had planned to bat session by session. "We took each session with the aim of not losing a wicket. We are satisfied that we have managed to do that. The team had depended on us. We have reciprocated the faith that they showed towards us."

We have to focus on few investments at a time... Too many things distract the mind from what is fundamental...

"I play each ball on its merit. I really do not talk much to myself. However, today both Rahul and myself were conversing regularly to keep the momentum going. In Test cricket very few people get to score 275. the feeling has been really good."

Wait for the good ball... You will get one eventually...

From Dravid:

He said at the press conference that he had come to Australia, where he averaged 15.5 in such a relaxed state of mind that even his first-innings failure at Brisbane didn't bother him. "John Wright told me after that innings, `don't worry mate. Even if you don't get runs in Australia, you will still be an outstanding batsman.' That was a great thing for him to say.

"The mistake I made in my last tour was to worry too much about my performance. I put a lot of pressure on myself thinking that I must score runs here. I have had four years of experience since then. I know my game better, I back myself. This time I told myself that I should enjoy my game and not worry too much about the outcome."

Investing is all about probability of success or margin of safety... Don’t worry if some of your investments don’t turn out as you expected...

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