Jim O’Shaughnessy – Have the Discipline to Stick With Your Investment Process

<p><a href="https://www.linkedin.com/in/james-o-shaughnessy-b072bb/" rel="noopener noreferrer" target="_blank"><strong>Jim O’Shaughnessy</strong></a> is the Chairman and Co-Chief Investment Officer of<a href="https://www.osam.com/" rel="noopener noreferrer" target="_blank"> O’Shaughnessy Asset Management</a> (OSAM). He is the author of four books on investing, and his book<a href="https://www.amazon.com/What-Works-Wall-Street-Fourth/dp/0071625763" rel="noopener noreferrer" target="_blank"> What Works on Wall Street</a> is a BusinessWeek and New York Times Business bestseller.</p><p>Jim is the former Chairman of the Board of the Chamber Music Society of Lincoln Center and currently serves as the Chairman of the Capital Campaign for CMS. Jim is married with three children and two grandchildren and lives in Greenwich, Connecticut.</p><p>&nbsp;</p><p class="ql-align-center"><strong>“You got to have the ability to stick with the process. Trust the process.”</strong></p><p class="ql-align-center">Jim O’Shaughnessy</p><p>&nbsp;</p><h2><strong>Worst investment ever</strong></h2><p>Jim started investing when he was 20. Back then, he was doing a lot of mathematical modeling. Jim concentrated on the<a href="https://en.wikipedia.org/wiki/Black%E2%80%93Scholes_model" rel="noopener noreferrer" target="_blank"> Black Scholes option pricing</a> model that was a pretty good<a href="https://myworstinvestmentever.com/ep137-raoul-pal-stick-with-your-hedge-fund-model-dont-outsize-your-position/" rel="noopener noreferrer" target="_blank"> investing model</a> with about 70% accuracy. The downside of the model was that it was about singles and doubles. There were no home runs. Jim craved for home runs.</p><h3><strong>Experimenting with other investment models</strong></h3><p>Jim was having a lot of fun with his model of choice, and his investments were doing well. Then he started experimenting with another model that was more focused on the market and not individual companies. The model would look at whether the market was fairly priced