reactive review
reactive review: The habit of reviewing a portfolio position only after a large move or visible event forces attention.
Plain-English Explanation
Reactive review means the team looks closely at a position only when price action, news, or stress makes the issue unavoidable. It is review driven by surprise rather than by a deliberate cadence.
Why It Matters
When reviews are mostly reactive, the portfolio process becomes emotionally noisy and less consistent. A planned review rhythm improves decision quality because the team can assess thesis changes before volatility turns them into urgent problems.
Next Step
Set a scheduled review cadence for important holdings and define what evidence should be checked even when nothing dramatic has happened.
Examples
- A position is ignored for months, then reviewed in a rush after a sharp drawdown. Moving that name into a monthly review cycle would surface thesis changes earlier and with less pressure.