Third Stream’s Philosophy
“The important and difficult job is never to find the right answers; it is to find the right question.” – Peter Drucker
“If you do not change direction, you may end up where you are heading.” – Lao Tzu
Track records of actively-managed portfolios at a startling majority of investment funds consistently lag passive strategies. Excessive reliance on similar inputs, tendency for group think and herding, lack of creativity, and bias for complexity and machine intelligence all conspire to dampen performance.
Third Stream Research’s effort goes into studying the digitization of the economy, understanding the changes happening, and crafting tactical and long-term strategies.
Ultimately, our goal is to help clients make better decisions and take advantage of the changing information flows of our world.
We depend on non-traditional data and qualitative research to invigorate traditional economic and fundamental research, which relies too heavily on backward-looking government, market and corporate data. Third Stream examines a diversity of sources to anticipate the most probable trends and scenarios at the macro, sector and corporate levels.
Transformation in Digital Economy
The profound change brought about by ever more advanced technologies and innovations is creating unprecedented wealth and triggering vast dislocations– opening the way for enormous shifts in business and society.
The exponential growth of digital technologies is unfolding faster than humans and society can manage. As smart machines increasingly take advantage of advances in computer processing, AI and networked communication, charting the course from the current economic paradigm to the next will be the greatest challenge.
An expanding array of winners will have opportunities to participate in new growth. Third Stream researches and targets the segments of the economy and companies best apt to thrive in this scenario.
Ultimately, we agree with the authors of The Second Machine Age. Many of biggest winners in the coming decade will be those who do “more to invent the technologies and business models that augment and amplify the unique capabilities of humans to create new sources of value, instead of automating the ones that already exist”.