Having started investing over ten years ago, I can now say with reasonable confidence that success takes hard work. Grande Sorpresa. After losing 11% in 2022, I have just managed to squeak out a fantastic 0% return. Yes, that\’s right, after a whole year of hard work, I\’ve managed to go precisely nowhere (compliments can […]
During the final week of September, I had two positions, Anglo Asian Mining and Digital 9 Infrastructure Trust drop by 20%+ in a single session. Both rebounded strongly the next day – the proverbial “dead cat bounce” but remain heavily underwater for recent investors. Despite this, I am still holding both companies and in this
Every investor knows the saying that investments can go down as well as up in value. Knowing and seeing this in action are two different things however, and my perception over the last 24 months has been of a huge number of investors disappearing from social media. After a decade of low interest rates and
During the course of publishing this blog, I have previously written two articles about my portfolio review process, the first providing a general insight into my review process and the second providing a more detailed description of my half-year reviews. In today’s article, I’m going to provide more detailed about my quarterly portfolio review process,
Ask most private investors about their opinion of investing in small companies and they will happily tell you that ‘investing in small caps exposes investors to an information mismatch which enables outperformance’. The idea is a simple one. Big funds with professional analysts have too much capital to deploy to worry about investing in companies
It feels like a constant mantra when I sit to write a new article but I hardly know where to start this week. So much has happened that I feel as though I could almost write an article a day and still struggle to keep up with events. Rather than try to dissect all the
After publishing my 2022 Half Year Review, I was contacted by a reader asking whether I could provide further insight into my trade decisions. Although I responded positively, I decided that I needed to include a more detailed caveat around releasing the information. Firstly, the information in this article is in no way guaranteed for
Six months into 2022 and like most private investors I’m finding the markets increasingly challenging to handle. After 2021’s fantastic returns of 24% my portfolio is currently down around 10% year-to-date. That gives me a truly wonderful feeling considering inflation is running at 10% – meaning that I’ve effectively lost all my gains from last
A recent scroll through my Twitter feed uncovered one of two responses to the recent market volatility. Firstly, that the world is ending, we’re all doomed and accordingly that someone’s portfolio has been smashed to smithereens. Alternatively, that this is all temporary, that anyone urging caution is an idiot, and that investors really ought to
Last week, I was invited to guest star on the Twin Petes Investing Podcast Episode 73, starring alongside my good friend Peter Higgins and acting as a temporary stand-in for the missing Pete “WheelieDealer” due to health problems. The episode was an absolute delight to film, and despite having relatively little warning of the invitation,
One of the most common statements I hear from fellow investors is the idea that they are ‘long-term’ investors and that short-term price fluctuations do not concern them. In today’s blog, I want to unpack the idea of what it means to be a long-term investor and consider some of the challenges and benefits that
For the first time in a while, I picked up a paper copy of the Financial Times this weekend. Although I’m a regular reader of the paper, I tend to consume the digital copy more than the paper version these days and it was quite a decadent treat to enjoy leafing through the original format.
In my last article, I indicated that I wanted to cover investment idea generation for an investment portfolio in more detail. The very first stage of building a portfolio of investments, far before investment idea generation, is to define your investment goals. For the purposes of this exercise, let us define our goal as income
The last few weeks have reinforced the importance of portfolio managers and private investors having a solid process to protect capital and prevent themselves from opening position which are, frankly, only ever going to lose them money. For those of you that haven’t seen the headlines, a number of tiny US companies such as Bed,
Last year, I wrote an article which introduced some of the ways in which investors misjudge risk management. I always meant to cover the topic in more detail but for one reason or another never got around to it. In today’s article, I want to take a more comprehensive look at investment portfolio risk management.