Harvard lecturer and entrepreneur Reza Satchu says investors should weigh leaders’ judgment as AI makes data and analysis easier to replicate. On a Motley Fool podcast, he said judgment can be developed through consequential decisions and calibrated risk.
Satchu said he and a partner rejected a $1.1 billion offer for their student-housing business because they saw room to build further; the business later sold for $1.7 billion. He estimated the choice risked about $100 million in equity value but could yield several hundred million dollars in upside.
To evaluate leaders, Satchu said he focuses on how they act during crises and whether they protect and reposition their organizations. He argued that crisis behavior can reveal judgment more clearly than polished public accounts.
