What I look for in a stock, how I manage risk, my criteria for exiting a stock, avoiding analysis paralysis, my investing role models, and the cornerstones of my investment philosophy.
Advantages of Micro Cap Investing
Micro caps are stocks with market caps under $300 million. Wall Street typically overlooks them because they’re too small, but here’s why they can make you more money – if you have the skills.
Volatility Is Not Risk; Permanent Loss of Purchasing Power Is
The idea that volatility equates to risk is a self-imposed dungeon constructed by over-leveraged traders and those who lack understanding of the intrinsic value of the assets they own. In this article, I illustrate examples of how to–and how not to–navigate volatility, and how to play the game correctly so that volatility becomes an ally rather than an obstacle.
Circle of Competence – Everything You Need To Know
This mental model was designed to help investors make better investment decisions. However, you can also apply it to other areas of your life in order to be more efficient. You should always aim to operate within your Circle of Competence, because that is where your efforts will yield the highest reward.
Growth & Value: Two Sides Of The Same Coin
What is better: growth investing or value investing? If you’re asking that question, you’re looking at things the wrong way.
The Difference Between Speculating, Trading, and Investing
Throughout the site, you will notice that I often differentiate between speculating, trading, and investing. In this article, I shall explain the nuances that differentiate the three from each other.
Downsides of Investing In Micro Cap Stocks
The disadvantages and potential pitfalls of investing in stocks with market valuations under $300 million.
How Value Investors Combat FOMO Trading
FOMO stands for “Fear of Missing Out.” When you chase an expensive stock and buy it simply because it keeps going up–despite having determined that the stock is too expensive or not within your circle of competence–that’s called FOMO Trading.
The Flaws of Relative Valuation
Reasoning by analogy versus first principles. An example of the former. Two fatal flaws in relative valuation. And some first principles for investing.
Making Work Fun: Finding the “Sport” in Investing
Thoughts on making investing fun.