Great read! Only part I don't understand in the process is circle of competence. Do any of us really understand these industries or businesses? Or do we just think we do? Buffett has said "stay within your circle of competence," but then says he is the least of anyone in understanding how to use his Iphone. I don't think I really understand much about cars, but I recognized early that Tesla had a better mousetrap. So I invested in it. I can see this in other businesses I like too, where I don't really understand how the product is made or functions, but that it is useful and saves time or money, convenience for the customers. So if I can see the VALUE in the product or service and the management employed in that product/service I take a chance and invest in it when the price seems fair. I think almost everyone should use index funds in their approach to some degree. I have bought funds for over 35 years, and the last 5 years focusing on buying individual stocks. Being patient in buying and in selling can help a lot.
Thanks for your insights! If you look at it through the lens of time management, I had to spend a considerable amount of time analyzing Adyen and the FIntech space instead of a microcap company like ConneXion Mobility. In other words, I went outside my circle of competence/understanding with Adyen. If you've only got a couple of hours, you could focus on simple businesses.
Yes great article Kevin. I selected 11 to 15 stocks because this number gives me the opportunity to double my income stream. Elsewhere you mentioned the significance of recognising patterns. This comes with experience and familiarity and it very directly applies to the annual price cycle. In addition to dividends pa, I look to have at least two trades a year in each stock. Either I will buy when the stock is at the lower band of its price cycle and the sell at the top or vice versa.I'm not looking to land a whale, small fish are sweet. I then assess these profits as my salary for my investment time inputs. It works for me and has done for quite a number of years.
Beautiful article Kevin. Clear, to the point, and most importantly useful. Kudos. Subbed! Looking forward to reading more!
🙏 Thank you!
Awesome article Kevin, loved reading it. Thnx!
Thanks! I had a blast writing it up
Wow great article. I never sees my lifetime by factoring like you described. This is not just for investing. Thank you.
👍
Great read! Only part I don't understand in the process is circle of competence. Do any of us really understand these industries or businesses? Or do we just think we do? Buffett has said "stay within your circle of competence," but then says he is the least of anyone in understanding how to use his Iphone. I don't think I really understand much about cars, but I recognized early that Tesla had a better mousetrap. So I invested in it. I can see this in other businesses I like too, where I don't really understand how the product is made or functions, but that it is useful and saves time or money, convenience for the customers. So if I can see the VALUE in the product or service and the management employed in that product/service I take a chance and invest in it when the price seems fair. I think almost everyone should use index funds in their approach to some degree. I have bought funds for over 35 years, and the last 5 years focusing on buying individual stocks. Being patient in buying and in selling can help a lot.
Thanks for your insights! If you look at it through the lens of time management, I had to spend a considerable amount of time analyzing Adyen and the FIntech space instead of a microcap company like ConneXion Mobility. In other words, I went outside my circle of competence/understanding with Adyen. If you've only got a couple of hours, you could focus on simple businesses.
Great insights on maximizing time efficiency for investing!
Thank you!
Good article. Thank you for sharing.
Yes great article Kevin. I selected 11 to 15 stocks because this number gives me the opportunity to double my income stream. Elsewhere you mentioned the significance of recognising patterns. This comes with experience and familiarity and it very directly applies to the annual price cycle. In addition to dividends pa, I look to have at least two trades a year in each stock. Either I will buy when the stock is at the lower band of its price cycle and the sell at the top or vice versa.I'm not looking to land a whale, small fish are sweet. I then assess these profits as my salary for my investment time inputs. It works for me and has done for quite a number of years.
I agree. Experience in the markets trumps wits. I like the idea of looking at price cycles!