Ted Williams Sweet Spot

A decision-making framework based on Ted Williams' batting approach that emphasizes patience and waiting for optimal opportunities rather than swinging at everything.

Core Philosophy

• People buy value, not price
• The decision to do nothing is often the best decision
• Fewer actions/trades typically lead to better results
• Wait for your pitch rather than swinging at everything

Trading & Investment Application

• Best traders make money by sitting and waiting
• Most money is made by being patient
• Trading less frequently often leads to better yearly returns
• Important to document and track decisions to identify patterns

Key Decision Making Principles

• Only play 15-20% of opportunities (like a pro poker player)
• Amateurs play too many hands (around 50%)
• Pass on average opportunities to save room for huge ones
• Know your "sweet spot" like Ted Williams did
  • Document where you perform best
  • Wait for opportunities in your zone
  • When you get your pitch, act decisively

Risk Management

• Consider how many "soldiers" (resources) will be called into duty
• Think beyond initial investment
• Calculate potential follow-on capital requirements
• Be prepared for some investments to "come back missing limbs"

Implementation Strategy

• Document and track all decisions
• Study patterns of success and failure
• Identify your personal "sweet spot" for opportunities
• Build patience to wait for optimal situations
• Act decisively when ideal opportunities arise