I recently re-read Robert Pirsig’s classic “Zen and the Art of Motorcycle Maintenance: An Inquiry into Values“. Penned in 1974, it’s a philosophical reflection on values and the art of living. I highly recommend it.
What has that got to do with investing? Well, as it turns out, a lot—at least in my opinion!
Here are some of the insights from the book, and how they relate to investing.
Quality Over Quantity
Throughout the book, Pirsig places a significant emphasis on quality—an elusive but paramount concept that distinguishes the great companies from the not-so-great.
“Quality… you know what it is, yet you don’t know what it is…But some things are better than others, that is, they have more quality. But when you try to say what the quality is, apart from the things that have it, it all goes poof! Obviously, some things are better than others… but what’s the ‘betterness’?”
Quality is an intangible yet discernible attribute that cannot be easily quantified, but is undeniably present and influential. Knowing what it looks like, and how it reveals itself, should be a central focus of your investment journey.
Attention to Detail
The meticulous nature of motorcycle maintenance — and stock selection — requires great attention to detail.
“When you’re doing fine detailed work, precision is everything. What you see is important but so is what you can’t see, what you sense is there. The more you look, the more you see.”
Just as overlooking a small mechanical issue can lead to significant problems in a motorcycle, ignoring the finer details in an investment can result in unforeseen risks and losses.
“…slow down and take your time. Carelessness leads to more trouble than anything else.”
Rational Vs Intuitive Thinking
We tend to think that all good investing is based on rational, analytic thinking. And that is true to a large degree. But we must be careful not to deny more intuitive and experiential modes of thinking — especially if you’ve been at this investing game for some time.
As Pirsig writes, “You look at where you’re going and where you are and it never makes sense, but then you look back at where you’ve been and a pattern seems to emerge.”
Intuition based on long experience is not something you want to ignore, even if it can be hard to articulate.
Continuous Improvement
The concept of Kaizen, or continuous improvement, is something every investor needs to internalize.
The share market is dynamic, and influenced by countless factors that can change rapidly and are obscured by all manner of noise. No one is infallible, and as soon as you start to think you’ve got it all figured out you’ll almost certainly receive a rude awakening.
You can’t avoid errors of judgement, but you can strive to not repeat them.
“The only real mistake is the one from which we learn nothing.”
Process Over Profits
The main goal of investing is, of course, to generate a suitable return. But if you are to have any hope of longevity in this game (something that is essential to reap the full benefits of compounding), it’s essential you find satisfaction in the process itself.
“To live only for some future goal is shallow. It’s the sides of the mountain which sustain life, not the top. Here’s where things grow. But of course, without the top you can’t have any sides. It’s the top that defines the sides. So on we go—we have a long way to travel and much to learn.”
If you can find pleasure in the process of stock selection and portfolio management, if personal development and intellectual satisfaction are their own reward, then the journey becomes just as fulfilling as the destination.
Patience and Persistence
Motorcycle maintenance requires patience and persistence—qualities that are equally important in investing.
“When you want to hurry something, that means you no longer care about it and want to get on to other things. Sometimes you just have to be patient and wait for the right time to act. Hurrying up often leads to carelessness and mistakes, which only prolongs the task. Slow down, take your time, and give each task the attention it deserves.”
There is rarely any great need to rush. And if you do miss out on an opportunity, it’s only a matter of time before another one comes along.
Personal Responsibility
It’s your money, and you are the one who chose to invest it where you did. Sure, you may have originally got the idea from someone else, but it was YOU that decided to act on it.
Having accountability for one’s decisions encourages a more careful and rigorous approach, and it positions you to better internalize the lessons the market has to offer. By taking ownership of your choices, you empower yourself to learn, adapt — and ultimately succeed.
“The real cycle you’re working on is a cycle called ‘yourself.’ The machine that appears to be ‘out there’ and the person that appears to be ‘in here’ are not two separate things. They grow toward Quality or fall away from Quality together.”
Bottom line
Investing, like motorcycle maintenance, is an art that requires patience, attention to detail, and a commitment to continuous improvement. As Pirsig wisely puts it, “The place to improve the world is first in one’s own heart and head and hands, and then work outward from there.”
Embrace these principles, and you’ll find not just financial success, but a more fulfilling investment journey.
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