Equity Concepts Insights: Embracing Problems

Chris FrazierNews

Inspired by the story of finding a new use for a broken plastic baseball bat, author Michael McMillan has helped reshape paradigms based on his approach of “Pink Bat Thinking”. McMillan suggests that most situations we consider problems actually represent the potential for innovative solutions if only we give up our perceptual blindness. Please take 6 minutes to watch his video at


As a private wealth management organization, Equity Concepts has endeavored to embrace many of the “problems” faced by investors today, especially those associated with volatility. In fact, we have learned that these “problems” are actually opportunities for our clients – Pink Bats – offering hidden solutions just waiting to be found.

Volatility (the degree by which price fluctuates) wreaks havoc on investors’ psyches — and on their portfolios. However, Equity Concepts advocates investing in alternative assets as part of a portfolio to combat volatility. Alternative assets come in many varieties and asset classes including private equity, private debt, hedge funds, real estate, and commodities and energy related investments. Yet a common thread among alternatives is their low correlation to both equities and fixed income; and low correlation is an important positive attribute when considering assets for inclusion in a portfolio. Alternative assets can also bring significant benefits to investment portfolios through diversifying exposure away from traditional fixed income and equity assets. Moreover, alternative assets are no longer the exclusive province of the super-wealthy. Historically, these assets’ illiquid secondary markets and high minimum investment sizes served as a deterrent to participation by a broader market. However, the evolution of global financial markets continues to provide an ever-greater breadth and depth of investment options, through which more individuals can add alternative assets to their portfolios. While many investors lack the time or experience to implement these strategies on their own, Equity Concepts can provide the expertise and access to these needed “Pink Bat” solutions.

If you want to learn more about turning financial planning and investment problems into solutions, contact the team here at Equity Concepts.

On a personal level, consider the following. Rather than living each day in a world filled with problems, embrace a world filled with unseen solutions. Take the time to ponder the challenges you see and face. Think about how those can be turned into opportunities for good, both for yourself and others. If you want to read the full story to learn more about “Pink Bat Thinking” you can visit http://www.michaelmcmillan.com/store/pink-bat.

Your Equity Concepts Wealth Management Team.