India’s largest lender SBI is gradually capturing the very lucrative unsecured personal loan(PL) market.

A thread 🧵

(Thread) Why do I own individual stocks?

Thesis:

1. The digitalization of our world is 10% complete.
2. This megatrend will continue for at least another decade.
3. If you enjoy spending your free time on individual stocks, then the potential for outsized returns is possible.

What is my approach?

There are two parts to my portfolio.

- 40% in Vanguard All-World ETF. This is on autopilot w/ regular contributions.
- 60% in what I consider to be high growth stocks

I keep a balance by adding cash. No shuffling around unless it gets too out of whack.

The latter is the interesting part.

I invest in companies that can

1. successfully disrupt an industry with new business models $TTD $SQ $PTON $TDOC

2. further enable the digital transformation with their services and infrastructure $ZS $HUBS $TWLO $CRWD

I intend to hold my shares indefinitely and allow my investments to compound over time.

I don’t believe that it is possible to time the market. Markets go up and down. I hold on knowing that quality businesses tend to bounce back.

The list of reasons to sell is always long.

If you have full conviction in your holdings, then no single piece of “infotainment” should make you change your mind.

Ignore it + people who make predictions about the economy.

This year I started writing daily on Twitter about finance and investing and gained more than 500 followers in 2 weeks

Here are the main things I learned on Twitter growth

1. Brand
2. Content
3. Engagement
4. Networking
5. Tools

/THREAD/

1. Brand
You need to find a niche you are interested in and focus on it
E.g. finance, fashion, travel, etc.

Adjust your profile by adding a profile picture and banner that will show someone what your profile is about and why they should follow you.

Add a linktree that will have all the links for your blog, website, newsletter, etc.

2. Content
Don't wait to gain followers before posting. Nobody will follow you if they see an empty feed.

Start posting daily focusing more on single tweets or threads that provide insights on a topic people in your niche might be interested in.

At first, it will feel like talking to a mirror.

Have a pinned tweet, which will be your best one that will catch the attention of someone visiting your profile.

1/x Since I promised a few investors outside Sweden/Nordics to look deeper into $CDON, with my negative customer biases aside, here's a short thread;

Let's first go through the negatives

2/x I really understand the excitement when you put on the "local dominant marketplace"-glasses and start comparing CDON multiples to the likes of $AMZN, $MELI, $SE or whatever. But with boots on the ground I can assure you, that they are *nothing* of the sort. At least yet.

3/x Just looking at GMV/revenue, after >20y in business, an "everything store", CDON doesn't even come near other local niche players like $BHG (8bSEK) or $BOOZT (4bSEK) and other private companies. They are closer to $LYKO in size, who are only selling hair & beauty..

4/x Unfortunately the brand is very much on decline (especially among young ppl) since the website has been mistreated for years and years, so I think they have to work extremely hard on building trust + enhance customer experience to even have a change long term.

5/x Like I wrote yesterday we have a very divided (in a good way) eCommerce market in the Nordics, with lots of amazing niche players with top notch customer experience. To put it in words you understand, we are a more $SHOP like region with independent businesses.

Ten MF mistakes I recommend you avoid...

1. Too much love

A fund does well. You fall in love with the fund house. You have a large mid and small cap scheme from them. They all tank together! Diversify. And remember being good at one thing doesn’t make you good at the other.

2. One for all

Applying the same metrics to judge different asset classes. What matters to equity funds doesn’t matter to debt funds. Arb funds are fully hedged - the individual stocks don’t matter, they do in equities. Understand what matters for each asset class.

3. Perils of passive

Assuming all passive funds are good because they are cheap. There are terrible passive funds out there too. They track bad indices. Or they track good ones but have a lot of tracking error. Passive requires its own set of research.

4. Apples and kiwis 🍎 🥝

We have categories in MF but sadly all funds in a category are not comparable. Just because a website compares them doesn’t mean you should look beneath. BAF categories have funds that are static, dynamic bond funds have rolldowns. Just an example.