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Have you seen one of the obstacle course TV shows like Ninja Warrior or Spartan Ultimate Team Challenge (or even Wipeout)? Do you think the winners have a strategy before they start the course? You bet they do.

Let’s say a co-worker wants you to go out with the team after work but you don’t find it appealing and so you mention you’re not feeling well. Later that evening you run into them at a bar. How would you feel in the moment when your “little white lie” is discovered? I suspect, the same as me…very small.

If you were playing blackjack and never looked at the dealer’s face-up card, you’d be missing a great opportunity to increase your odds of winning. Unfortunately, too many analysts are doing the equivalent when they fail to assess and influence the market’s view.

Why does it matter that so many equity research analysts are introverts? Because we need to always be looking for differentiated sources of insight, which can’t be found by simply listening to conference calls, reading regulatory filings and scanning the financial media.

If you’re looking to get hired (or re-hired) in an equity research role, I should probably also mention the darker side, namely the industry is in decline (likely on a secular basis) and if active money management performance doesn’t improve significantly, there’s no reason to expect the trend to reverse.

Psychologists have discovered in situations when the “Do Not Walk” sign is illuminated, people are more likely to cross the road if the person ahead of them starts to walk, often without looking to see if it’s safe.

If forced to make this choice when buying a new car, would you prefer one with excellent performance and handling (engineering) that looks plain on the outside or one with just average performance and handling that looks stylish and high-end on the outside? This is the age-old dilemma of substance vs. style, which equity research analysts face when communicating their research.

If you’re an equity research analyst, you probably do a fair amount of flying. How would you feel if you were at the airport and overheard the pilot telling the gate agent, “We’re running late and so I’m not going to go through my standard safety checklist.”?

Almost every time I begin sharing best practices for seeking unique information sources (for generating informed insights), one of the analysts in the room asks, “Why would someone out in the industry want to talk to me?

Do you approach stock picking in the same manner, namely with specific steps and philosophies to ensure success? My TIER™ framework for stock picking was designed to help analysts organize and follow the dozens of steps and philosophies required for great stock picking based on best practices.