Adam Grant writes in his brilliant book Think Again wrote “Two decades ago my colleague Phil Tetlock discovered something peculiar. As we think and talk, we often slip into the mindsets of three different professions: preachers, prosecutors, and politicians. We go into preacher mode when our sacred beliefs are in jeopardy: we deliver sermons to protect and promote our ideals. We enter prosecutor mode when we recognize flaws in other people’s reasoning: we marshal arguments to prove them wrong and win our case. We shift into politician mode when we are seeking to win over an audience: we campaign and lobby for the approval of our constituents. The risk is that we become so wrapped up in preaching we are right, prosecuting others who are wrong, politicking for support that we don’t bother to rethink our own views.

Reread this again.

Because this is not just about how we think.

This is about how we invest.

“Sanjay, I knew it.”

Rohit leaned forward, almost triumphantly.

“I told you this market was overvalued. I said it months ago. Now look at it.”

Sanjay smiled.

“What are you feeling right now?” he asked.

Rohit looked surprised.

“What do you mean? I feel… right.”

Sanjay nodded.

“That’s preacher mode.”

Rohit frowned.

“Preacher mode?”

“Yes,” Sanjay said.

“You had a belief. The market is overvalued. Now that something has gone your way, you are reinforcing that belief.”

Rohit laughed.

“Well, I was right.”

“Maybe,” Sanjay said calmly.
“But let’s continue.”

A few minutes later, Rohit pulled out his phone.

“Look at this fund,” he said.
“It has underperformed for three years. I don’t understand why anyone would invest in this. Makes no sense.”

Sanjay nodded.

“That’s prosecutor mode.”

Rohit smiled.

“So now I am a prosecutor?”

“Yes,” Sanjay said.

“You are building a case. Finding flaws. Proving that something is wrong.”

Rohit leaned back.

“Ok, this is interesting.”

Sanjay continued.

“And when you recommend your own investments to friends?”

Rohit grinned.

“I make a pretty strong case.”

“That’s politician mode,” Sanjay said.

“You are trying to convince. To gain agreement. To win support.”

Rohit laughed.

“So basically, I am all three.”

“We all are,” Sanjay said.

“That’s the point.”

There was a pause.

“But what’s wrong with that?” Rohit asked.

“Nothing,” Sanjay said.
“Until it becomes everything.”

Rohit said at him.

“Explain.”

Sanjay like a wise owl said “The problem is not that we think like preachers, prosecutors, and politicians. The problem is that we get stuck there.”

Rohit nodded slowly.

“And when we get stuck…”

“We stop thinking,” Sanjay said.

“Let me show you how this plays out in investing.”

Rohit listened carefully.

“When markets go up, we become preachers.”

“We start believing our strategy is right.”

“We explain it to others.”

“We reinforce it.”

“We become more confident.”

“Sometimes, overconfident.”

Rohit nodded.

“That sounds familiar.”

“When markets fall, we become prosecutors.”

“We blame the fund.”

“We blame the manager.”

“We blame the market.”

“We look for what went wrong.”

“We build a case to exit.”

Rohit smiled faintly.

“I have done that.”

“And when we sit with friends or advisors,” Sanjay continued,

“We become politicians.”

“We defend our choices.”

“We seek validation.”

“We want others to agree with us.”

Rohit leaned back.

“That’s… exactly what happens.”

Sanjay nodded.

“And in all of this…”

He paused.

“We forget one thing.”

“What?” Rohit asked.

“To rethink.”

Because that is the hardest part.

“Sanjay,” Rohit said slowly, “are you saying I should doubt everything?”

“No,” Sanjay replied.

“I am saying you should be open to questioning anything.”

There is a difference.

He continued.

“Investing is not about being right.”

“It is about being less wrong.”

“And to do that…”

“You need a fourth mindset.”

Rohit leaned forward.

“What is that?”

“A scientist.”

“A scientist?” Rohit asked.

“Yes,” Sanjay said.

“A scientist does not defend a belief.”

“A scientist tests it.”

“A scientist does not try to win an argument.”

“A scientist tries to understand.”

“A scientist does not seek validation.”

“A scientist seeks truth.”

Rohit nodded slowly.

“That sounds very different.”

“It is,” Sanjay said.

“And it is very powerful.”

“Let me give you an example.”

“When you invest in a portfolio…”

“Instead of saying, this is the best strategy…”

“Say, this is my current hypothesis.”

Rohit smiled.

“Hypothesis?”

“Yes,” Sanjay said.

“Something that works based on current understanding.”

“But open to change.”

He continued.

“When a fund underperforms…”

“Instead of immediately exiting…”

“Ask, what has changed?”

“Is the thesis broken?”

“Or is this part of the cycle?”

Rohit nodded.

“And when markets move…”

“Instead of reacting emotionally…”

“Observe.”

“Learn.”

“Adapt.”

Rohit was quiet for a long time. Then he said something interesting.

“You know, I spend a lot of time trying to be right.”

Sanjay smiled.

“We all do.”

“And maybe that’s the problem.”

“It often is,” Sanjay said.

Rohit looked thoughtful now.

“What do you think I should do differently?”

Sanjay smiled.

“Start with awareness.”

“Notice when you are preaching.”

“Notice when you are prosecuting.”

“Notice when you are politicking.”

“And then wait.”

“Step back.”

“And ask…”

“What am I missing?”

There was a calmness in the room now.

Different from before.

Less noise.

More clarity.

“Sanjay,” Rohit said softly.

“This is not just about investing, is it?”

Sanjay smiled.

“It never is.”

Because in the end.

Markets will move.

Funds will perform and underperform.

Strategies will work and fail.

But your ability to rethink.

To question.

To adapt.

That is what will determine your outcomes.

Not your ability to be right.

But your willingness to be wrong and learn.

If you find yourself explaining why you are right or proving why someone else is wrong or convincing others to agree with you.

You may not be investing.

You may just be playing a role.

A preacher.

A prosecutor.

Or a politician.

And maybe.

Just maybe.

It is time.

To become a scientist.