Disciplined Research and Investment Process

by admin | Jul 10, 2024 | Our Story

Using Nature’s Intelligence to Take Advantage of Evolved Nash Equilibrium Principles to Unlock Value and Support Entrepreneurs Overlooked by Most of the Investment Community

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Our “Phoenix Investing” service area involves investing research on the following: 1) multi-capitalization public equities and 2) digital assets for experiential learning of how to apply our living systems investing principles (we do not chase the herd, instead seeking pockets of real value creation).

Investors can expect a mixture of written content as well as podcasts, live webinars, and videos with interdisciplinary experts. We are not investment advisors to invest at your own risk. This is for educational purposes only.

Both our areas of focus tend to be volatile and risky with big sell offs following large bubbles and then rising again. Both areas can benefit from our natural intelligence perspective, which is unique for finding opportunities away from the herd and managing layers of risks not possible using other approaches.

We focus on the edge of chaos in misunderstood, overlooked, off the radar, and turnaround situations. It is a fun service area. Keep in mind that this is not a typical investment research product. We discuss coherence and alignment as it relates to our living systems investing principles with the intention of helping to unblock value in these important companies and projects. Phoenix Investing is tightly integrated with The Pythia Scrolls.

We also give members a chance to present their own ideas, as long as they use our natural intelligence systems principles.

We discuss global companies that are both coherent and incoherent with the principles. The degree of coherence is especially helpful in determining which companies have the best systemic value propositions and which ones are exposed to the most risk during these liminal times. We also use the principles to brainstorm about how to help companies with exciting products and services that may be struggling and do not fit very well in the current winner take all system.

You can make venture capital-like returns with our strategies over shorter time frames. However, there is also much more volatility and risk, so our focus and approach is not for the risk averse. Some areas where we focus can be highly predatory and the companies illiquid, but we also focus on newly emerging industries and exciting new trends. We use game theory principles in their higher potential with the intention to support these important edge entrepreneurs. We seek high integrity investors, as this space attracts many sleazy people who do not care about systemic value creation.

“Phoenix Investing” is highly synergistic with and integrated into our foundational service area “The Pythia Scrolls” (interdisciplinary, networked intelligence and living systems investing trends research) and is the only way to access “Phoenix Investing” content.

Contact us here or contact Lynn Marie DePippo directly here: lynndepippo@gmail.com if you are interested to explore our new founding membership in The Pythia Scrolls which contains the following service areas: 1) Codex – educational materials; 2) The Scrolls – interactive trends research 3) Phoenix Investing.

Our Nonlinear, Living Systems Investment Approach

Integrating Value-Based Principles

Using our nonlinear, living, complex systems investment approach, we easily integrate fundamental, value-based investment principles. These are built into our living system process. We move beyond the traditional duality that divides the investment world into two groups: impact/sustainable/ESG vs. regular investing.

Embracing Whole Systems Thinking

We believe that taking this whole systems approach is necessary to restore our health, vitality, environment, education system, and overall economic system. This is not an allocation decision, but the natural, organic way our economic and financial systems need to evolve to stay relevant.

Addressing Complexity and Unintended Consequences

There are far too many unintended consequences of using linear processes on nonlinear complex problems. Many existing impact and sustainable investment approaches still use linear frameworks. We’re not inventing something new; nature already has what we need to address these difficult issues.

Overcoming Fear of Change

Considerable fear of chaos and losing control get in the way of efforts to change the status quo. That’s why a conscious, whole system living approach is necessary. The vitality, creativity, and regeneration possible using these principles more than make up for what we lose in the transition.

Adapting to a Changing World

Whether we like it or not, the world is changing, and old systems are falling apart. Following the wisdom of nonlinear systems in nature is the only way we can regenerate our systems across society in more win-win ways. Fortunately, advanced science and technology mirror these natural principles, making analyzing and solving problems much easier.

Evolving Traditional Investment Models

We leverage the positives from core, values-based investment principles learned in the investment management industry while evolving and transitioning old investment models and frameworks that are too rigid for this new paradigm.

Our Disciplined Research and Investment Framework

We use a highly disciplined research and investment framework to analyze and help build essential businesses in society:

1. Analyze more than just financial forecasts
2. Examine overall markets and industries
3. Study evolving trends
4. Meet with industry experts and attend conferences
5. Maintain humility and openness to new information
6. Proactively gather information
7. Study people, business strategy, and financials
8. Assess barriers to entry and business risks from multiple perspectives

Key Investment Principles

– Follow our process and stay disciplined
– Invest for the longer term with patience
– Invest early, following new industry trends
– Invest before or just after new product rollouts

Understanding Our Investment Process

Our system-based framework helps us better understand the problems we’re solving and ideas about how to solve them. We screen public and private investments from this perspective and are rigorous in our post-initial screens analysis.

Managing Risks and Communicating with Investors

We use this disciplined investment process to find the best opportunities for resilient returns while managing various risks inherent in investing in small, growing businesses. We regularly follow all our investments and communicate this information to our investors.

Admitting Mistakes and Finding Solutions

We admit when we make mistakes and come up with tangible solutions as efficiently as possible, even if it means selling investments and deciding not to continue investing in a particular company.

Our Detailed Research Approach

• Proactive, bottom-up research using all available resources, including expert advisors, industry conferences, and literature searches

• Active identification of promising global opportunities for public and private investment offerings

• Assessment of:
– Clinical/scientific data quality and technology validation
– Management teams’ execution abilities and resource management
– Industry and product market size potential
– Barriers to entry (e.g., competition, patents, innovative manufacturing)
– Customer feedback and strategic partnerships
– Investment and resource requirements over time
– Potential gaps in business, technical, and necessary resources
– Market and company-specific risks
– Alignment with physical laws of nature
– Operating, financial, and valuation details

• Early identification of critical new industry and company-specific trends

• Exploration of ways to address resource gaps through advisors, consultants, and investor club members