BC INVESTING
Saved by @SeekerHari

Phenomenal article/compilation on "The Biggest Mistakes Investors Make". h/t @manualofideas @JMihaljevic 👏

cc: @dmuthuk @Gautam__Baid @saxena_puru

My fav pts in the thread below

 Lot of great points on the importance of having a strategy, process, discipline, patience, self-reliance, awareness of risk, biases/emotions, learning from mistakes & more.
More ⬇️
Some more ⬇️
The last year has delivered great results to many Portfolios but Market conditions are always changing and it's important to ensure the Process and Portfolio are built to withstand whatever the Market throws at it in the short-term and sustain & succeed for the long-term.
"Even as learning from past mistakes is easier said than done, there is no path toward improvement unless we attempt to learn from our mistakes — and those of others."

/END

More from Ram Bhupatiraju

Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
Phenomenal compilation of summaries of🔟important Business/Finance/Investing books. h/t @EdelweissFin 👏
An excellent weekend read.👍

cc: @dmuthuk @Gautam__Baid @saxena_puru

https://t.co/Nl4eWteJKK


Snapshots of the Key Takeaways of the books discussed.

1⃣ "A Piece of the Action" is an excellent book to understand the Finance Industry evolution in the US.

2⃣ The obvious classic "The Intelligent Investor".


3⃣ Ray Dalio's "Principles"

4⃣ Howard Marks' "The Most Important Thing"


5⃣ "Thinking Fast and Slow" is a good book on Behavioral Finance.

6⃣ Another obvious classic "One Up on Wall Street"

7⃣ "The Little Book of Behavioral Investing" is another good behavioral finance book.


8⃣ "The Black Swan" by Taleb. A very important book about unpredictability and cautioning against over-relying on Models/predictions.

9⃣ "The Millionaire Next Door". I haven't read it, but hear it's a good personal Finance book.

🔟"Nudge" about improving decision making.
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Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
"The Millennial Consumer Index" - My picks for a DJIA style 30 stock Index with Co.'s that best serve that demographic.

Fellow Millennials, What would be some of your picks?😀
@richard_chu97 @saxena_puru @FromValue @TMFJMo @dhaval_kotecha @adventuresinfi @reshoftc @BrianFeroldi


My criteria & list is
✔️US Consumer centric
✔️No B2B stuff (unless end-user uses it for non-Business reasons also)

This is just a Fun-Friday exercise. So don't take it too seriously and ask me why your fav co isn't there. Just add yours in the comments. 😂

Picks ⬇️⬇️
E-Commerce : $AMZN $ETSY $W $LULU $CHWY
Entertainment : $GOOG $NFLX $SPOT $ROKU
Social : $FB $SNAP $PINS
Finance : $SQ $PYPL $LMND
Food/Beverage : $CMG $SBUX $DPZ $CELH
Online Services : $MTCH $ZM $DOCU $TDOC $RDFN $FVRR
Life style : $AAPL $TSLA $PTON $ABNB $UBER

Let's keep aside the discussions about recent hype or over-valuations for any of these Co's.

This thread is about which Companies (in my Portfolio/Watchlist/Universe) are doing an awesome job of serving/engaging the Millennial Consumers (in US).

The intersection of Technology, Demographic, and Consumer (behavior) trends are incredibly powerful.⚡️

We often over-estimate what can happen in the short-term (hype) and under-estimate what can happen in 1-2 decades (strong trends).
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Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
I guess there's a reason for why I❤️E-commerce so much. These lessons are as important as the returns.

Sharing with few Fintwit friends. @saxena_puru @FromValue @dhaval_kotecha @richard_chu97 @adventuresinfi @BahamaBen9 @TMFJMo @7Innovator @borrowed_ideas @investing_city


Thank god I didn't wait for consistent GAAP profitability before investing in them (like I do for most other sectors). 😂

Positions : $MELI $AMZN $BABA $SHOP $ETSY $W $SE $CHWY

Watchlist : $JD $PDD $FTCH $MWK

Haven't analyzed much : $JMIA $OZON

E-Commerce is one of those sectors where you have to understand the Business model and lot of non-GAAP (but Business driving) metrics & KPIs.

I'm not an expert by any means, but these are some of the things I broadly think about.

✔️Is the Company a Marketplace (1st party, 3rd party, both?) or a Platform, a combination?

✔️Does it handle inventory?

✔️Does it handle payments in house?

✔️What other services is it offering to Merchants (Logistics, Shipping, Credit, Marketing ...)

✔️What other services is it offering to Buyers (Digital Wallet, fast shipping, loyalty rewards....)

✔️How is the Company leveraging the Marketplace or Data Network effects?
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Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
Sharing the latest holdings and some random thoughts.

@FromValue @dhaval_kotecha @SeifelCapital @saxena_puru @BahamaBen9 @richard_chu97 @TMFJMo @7Innovator @investing_city @SagaPartners @adventuresinfi


Individual Investing is a very personal journey where we need to match our strengths and strategies to our goals, while ignoring all the noise but also constantly learning and improving our process.

W/O understanding the other person's situation, interests, competency etc we shouldn't quickly offer unsolicited advice that they should be doing this or that with their portfolio.

Like "Why don't you just own ARK funds instead of holding so many SaaS stocks"? Maybe that's because I like searching for and studying solid companies from different sectors in my own free time, and buy each one after personally understanding them...

...and buy them at my own timeframe slowly over the years. As long as the med-long term Portfolio results are better than the indexes and comparable ETFs, that's a worth-wile endeavor.
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Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
Insights from Philip Fisher. One of the best docs I came across for individual investors.

Phenomenal effort by @SiddharthVoraPL @PLIndiaOnline 👏👏

cc: @dmuthuk @Gautam__Baid @saxena_puru

https://t.co/K19gWk9TFO


Philip Fisher's 15 points, simplified. ⬇️


His Investment strategy and Search strategy. ⬇️

Full scale scuttlebutt is not possible for individual investors (lack of time, resources, contacts), but with efficient search & communication online (tuning out the noise), there are still some ways to do good research.


Good sequence of steps to filter from a wider universe of companies to the few promising ones that meet the criteria. ⬇️


Excellent Checklist for Business, Management and Financial characteristics. ⬇️
EQUITY

More from Investing

Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
Some Excellent articles on Financial Ratios and Analysis.
h/t @discover_ci 👏

1⃣ Profitability

2⃣Liquidity

3⃣Leverage

4⃣Asset Management

5⃣Financial Analysis: What It Is and Tips for Getting it Right.

✔️Determining a Company’s Key Performance Indicators
✔️Collecting Company Financial Statements & Calculating Financial Ratios
✔️Analyzing Operating Results & Financial
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The Disciplined Investor
The Disciplined Invest...
@Disciplined_Inv
How to screen for stocks in the Microcap/Smallcap space?

Look for the following:

1. PE < 15
2. Low debt
3. Low Float
4. No Analyst Coverage
5. High Promoter Holding
6. Recent Promoter Buying
7. High Operating Leverage
8. Conservative Management
9. Blockbuster Earnings Release

What more you should look at?

Read this post, the quote retweets to this and the
STOCKSCREENERS , INVESTING
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Dan Rose
Dan Rose
@drose007
In 2009, an unknown investor from Russia came out of nowhere to make one of the greatest late stage venture bets in the history of Silicon Valley. Why did FB choose an outsider to lead our Series D round? Here’s the inside story:

2 years earlier we famously raised from Microsoft at $15B valuation. That turned out to be a mistake because it set us up for a painful down round. By 2009 growth had slowed and the financial crisis crushed advertising. “Smart money” bids for our Series D were coming in at $3-6B.

We had a high bid at $8B from a respected valley firm, and we had a wildcard bid from Yuri Milner/DST who offered to top any other bid by 20%. We initially chose the reputable firm at a lower price, but they refused to drop a ratchet provision so we decided to give DST a chance.

Yuri understood 2 things that nobody else could see at the time: 1/ He had seen virtual currencies in Eastern Europe and China, believed FB could make money this way. 2/ We were offering secondary shares at 40% discount to preferred, DST was the only firm who valued this.

Yuri not only offered to clear the highest bid by 20%, he also offered to let Zuck vote all of his shares including any secondary shares purchased from early employees. This allowed Zuck to consolidate his voting power.
INVESTING
J. Tuominen
J. Tuominen
@CapcentResearch
THREAD, PM EXIT STRATEGY

I sometimes get the question “At what price do I liquidate my PM portfolio?” The short answer is:

A) I´ll never sell all of it

and

B) I don´t have a PT. I could start selling at $1900 or at $100000, it depends.

For the longer explanation, 👇

Albert Einstein once famously said “Everything is relative”. I find that quote very useful in the world of investing as well.

First off, my preferred style of investing is more influenced by macro than micro (macroeconomics vs company specific).

That means I often buy a commodity, an ETF or a basket of companies operating in the sector of interest.

I frequently look at certain ratios, or said another way, instrument X relative to instrument Y.

By analyzing historical data, I´ve set up different “ratio milestones” for when history tells me to start unwinding the ratio. As these milestones are triggered, I sell 25% of the relatively stronger instrument. For every additional 10% skew in the ratio, I sell another 25% etc.

This means I´ll never pick the absolute top nor the bottom, but I should extract much of the value while keeping my emotions out of it.

An example where this principle is adopted is shown in the Gold/Silver ratio -graph below.
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10-K Diver
10-K Diver
@10kdiver
1) Get a cup of coffee.

In this thread, I'm going to walk you through "The Kelly Criterion".

2) In 1956, John Kelly published a paper titled "A New Interpretation of Information Rate" in the Bell System Technical Journal.


3) In the paper, Kelly described a simple and elegant way for investors to strategically allocate capital in the face of uncertainty.

This is what is now known as the Kelly Criterion.

4) The approach is easiest to understand with an example.

I'll keep it as realistic as possible:

Imagine that you walk into an antique store one day. Due to the persistence of the salesman there, you buy an old lamp from him.


5) You take the lamp home. You rub it. Out comes a genie. Nothing unusual.
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He's STILL in charge of the Mueller investigation.

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I love a good cover story.......

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And Trump came out of AF1 and gave ol' Rod a big thumbs up!

And so we're right back to 'that dirty rat Rosenstein!' 2 days later.

At this point it's clear some members of Congress are either in on this and helping the cover story or they haven't got a clue and are out in the cold.

Note the conflicting stories about 'Rosenstein cancelled meeting with Congress on Oct 11!"

First, rumors surfaced of a scheduled meeting on Oct. 11 between Rosenstein & members of Congress, and Rosenstein just cancelled it.
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Master Thread of all my threads!

Hello!! 👋

• I have curated some of the best tweets from the best traders we know of.

• Making one master thread and will keep posting all my threads under this.

• Go through this for super learning/value totally free of cost! 😃

1. 7 FREE OPTION TRADING COURSES FOR


2. THE ABSOLUTE BEST 15 SCANNERS EXPERTS ARE USING

Got these scanners from the following accounts:

1. @Pathik_Trader
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Everything covered in this thread.
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I’m torn on how to approach the idea of luck. I’m the first to admit that I am one of the luckiest people on the planet. To be born into a prosperous American family in 1960 with smart parents is to start life on third base. The odds against my very existence are astronomical.


I’ve always felt that the luckiest people I know had a talent for recognizing circumstances, not of their own making, that were conducive to a favorable outcome and their ability to quickly take advantage of them.

In other words, dumb luck was just that, it required no awareness on the person’s part, whereas “smart” luck involved awareness followed by action before the circumstances changed.

So, was I “lucky” to be born when I was—nothing I had any control over—and that I came of age just as huge databases and computers were advancing to the point where I could use those tools to write “What Works on Wall Street?” Absolutely.

Was I lucky to start my stock market investments near the peak of interest rates which allowed me to spend the majority of my adult life in a falling rate environment? Yup.
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Daniëlle Stotijn
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NESARA / GESARA explained for all who are not aware.

"The End of Poverty, The End of Debt, The Beginning of a New Golden Age!"

No Poverty, No Hunger, No Debt, Only Global Prosperity and Peace for ALL

NESARA will merge with GESARA

N = National (US)
G = Global
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@CaseyExplosion
*Heads-up that this thread will feature some extreme examples of homophobia and transphobia.*

Hey folks, have you ever wondered why trans people face constant accusations of fetishism, sexual predation and child abuse/grooming? Well, today let's talk about stochastic terrorism.

So, first we have to talk about what stochastic terrorism actually is. Remember when there was a conspiracy that there was a pedophile ring operating out of a pizza parlour basement, and a crazed gunman showed up? It's that sort of incitement that stochastic terrorism describes.

It's the demonisation or incitement against a group of people or individuals with the intent that other, unaffiliated parties will act upon it; it's the releasing doctored footage and a shooter show up at Planned Parenthood as a direct result of what he's been led to believe.

So with that in mind, let's talk about Russia's extreme anti-LGBT laws that banned the "promotion" of LGBT lifestyles to children. A move that specifically marked LGBT people as a threat to children, and resulted in neo-nazis meting out vigilante "justice" against gay men.


Groups such as this would lure unsuspecting gay men via dating sites, and brutalise and humiliate them on camera. They did so under the guise of combating child abusers, one group calling themselves "Occupy
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