The Sloth Investor’s 5 bedrock principles (Simplicity, Low Fees, Owning the World, Time, Headstrong) represents a compound creation of everything that R P Stevens, otherwise known as ‘The Sloth Investor’ or ‘Mr. Sloth’, has learned about investing.

Standing on the metaphorical shoulders of investing giants such as Jack Bogle and Warren Buffett, and created with the beginner investor in mind, the 5 bedrock principles of the Sloth Investor are underpinned by a rational, evidence-based approach to investing.

The two animals most commonly associated with the stock market are the bull and the bear. However, for R P Stevens, it is the inactive nature of the sloth that makes this creature the most appropriate animal to characterise successful investing.

Why?

Well, naturally, we’re taught from a young age that it is exertion, i.e., frequent activity that will enable us to grow and develop, to realise our full potential as human beings.

However, it’s critically important for people to recognise that the domain of investing is unique in that you will generally be rewarded more with the LESS action, the less effort that you take. This explains the success of those who adopt a ‘sloth-like’ approach to investing.

That’s right, it’s time to cast away any prior fears that you held about the concept of sloth, due to its status as one of the deadly sins.

Warren Buffett, undoubtedly the world’s most famous investor, made an astute observation about the virtuous quality of sloth to one’s investment portfolio when he made the following statement in his 1990 letter to shareholders.

“Lethargy bordering on sloth remains the cornerstone of our investment style”.