BC TRADING
Saved by @ThomassRichards

🔟Investing Philosophies I greatly admire. Learning from the best Investing Teams out there (that match your Philosophy/Strategy) and improving your own process is one of the best investing hacks. What are some others that you admire?

🔟of my principles at the end.
⬇️⬇️

 1⃣ Buffett : Gotta start with the🐐

https://t.co/RKO4BAMbpT
2⃣ Ensemble Capital : @IntrinsicInv @ToddWenning

https://t.co/6Cozku3Vmn
3⃣ Fundsmith : Terry Smith

https://t.co/WqBHvN4RiU
4⃣ Silver Ring Value Partners : Gary Mishuris

https://t.co/hjDC2VBIum
5⃣ Chuck Akre

https://t.co/GdP0t8XYaQ
6⃣ Shawspring : @DennisHong17

https://t.co/O4baJuHGL3
7⃣ Hayden Capital : @HaydenCapital

https://t.co/wIIJEaJt3w
8⃣ Saber Capital : @JohnHuber72

https://t.co/GkcazyA6C6
9⃣ Saga Partners: @SagaPartners @richard_chu97

https://t.co/TC5eIrPGLy
🔟 Polen Capital

https://t.co/5HsFSnJb6N
Bonus : @ARKInvest
The core principles of investing aren't too many, and doesn't change too often.

Below are my quick useful🔟principles.

1⃣ Focus on Understandability (& circle of competence), Quality, Durability, Growth & Competitive advantages/Moats.
2⃣ Focus on Financial strength, cash generation capability along with long runway and high re-investment opportunity.

3⃣ Focus on Management - Integrity, Capability, Vision, Incentives alignment and long-term orientation.
4⃣ Learn how to interpret the Financial Statements of a Company, given it's growth stage/life cycle, Industry and what it's actual goals currently are.

5⃣ Respect Valuation (but that doesn't always have to mean purely statistical/backward looking metrics).
6⃣ Keep an eye on innovation, disruption and major trends helping/hurting your holdings and prospective Co's.

7⃣ Portfolio Concentration towards the best ideas based on conviction & return potential.
8⃣ Think & act long-term. Rational & disciplined execution. Time & patience given to great businesses will generally be rewarded with great returns.
9⃣ Keep an open mind. Respect well researched contrary opinions.

Learn from various good resources, but always make your own decisions.

Learn from your mistakes & move on. Do not try to justify your past mistakes if the facts are no longer aligned with them.
🔟Accept Volatility as part of the journey and even take advantage of it.

Moderating your fear (during bad times) and greed (during good times) will ensure survival and long-term success.

Hope this was helpful.

/END.

More from Ram Bhupatiraju

Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
"6 Rules From 6 of the World's Top Investors" - Nice article with some good lessons for long-term investors.

1⃣ Let Winners Run
2⃣ Do the Research
3⃣ Have Conviction
4⃣ Patience Is Key
5⃣ Be Wary (of random advice)
6⃣ Look

1⃣ Let Winners Run : "Be patient with winning trades; be enormously impatient with losing trades."

Although this is in reference to trading, it applies well to long-term investors also. Be patient and don't take quick/small gains when you're invested in wonderful companies..

..acquired at decent prices with lot of growth ahead.

At the same time, if the thesis is broken and you no longer believe in the Company which has been a loser in your Portfolio, don't stay invested with a hope of coming out even.

2⃣ Do the Research : "First, look at the quality of the company, then at the price. Looking at the quality of a company requires that you read financial statements, listen to conference calls, and vet management.

Then, only after you have confidence in the quality of the company, should the price be evaluated.

If a company isn't a quality company, don't buy it just because the price is low. Bargain-bin companies often produce bargain-bin results."
ALL
Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
Excellent summary of Philip Fisher's book "Conservative Investors Sleep Well".

Plenty of great points on identifying the growth potential, managerial capability and defensiveness of a Company.

cc: @dmuthuk

Characteristics of high quality companies with good long term prospects

✔️Lowest-cost
✔️Customer focused
✔️Effective research
✔️Strong marketing
✔️Good accounting

People factors

✔️Determination, competence and teamwork
✔️Internal development and promotion
✔️Entrepreneurial and disciplined
✔️Genuine and conscious culture

Business characteristics to grow and defend

✔️Profit margins
✔️Barriers to entry
✔️First mover advantage (& extending that Leadership)
✔️Competition and substitution
✔️Economic moats

Few of my fav pts from the article. Not every Company will have all these traits, but the more the better.
ALL
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Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
On Seeking Alpha, "Integrator" (not sure about Twitter presence) is one of my favorite authors along with
@FromValue
@andrescardenal
@EconomyApp
Bert Hochfeld
👏👏

Few of my fav articles of his.

1⃣ The 5 Elements That Make For An Outstanding

2⃣ On Lessons from Buffett.

-Seek Economic Moats in any investment
-Having an awareness of your circle of competence
-Investing for the ultra long term
-Take advantage of a bargain hiding in plain sight
-Preservation of Capital, Above

3⃣ 5 Common Mistakes In Evaluating High-Growth Companies

-It has already gone up so much.
-Fearing short interest
-Fearing future Competition
-Fearing stock dilution due to secondary offerings
-Fearing current

4⃣ Ways Investors Cheat Themselves Out Of Long-Term Wealth Creators

-This business doesn't make any money!
-Thinking that you're too late
-Stock volatility
-High Valuation
-About Voting rights
-Aversion to 'averaging

5⃣ The 5 Important Rules For Surviving A Major Economic Downturn

-Strong cash reserves
-Low debt levels
-Good cash flow generation
-An absence of secular headwinds
-Transparent and easily understood
TRADING
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
Ram Bhupatiraju
Ram Bhupatiraju
@RamBhupatiraju
The (investing) world is full of noise📢. Tune that out and find your signal.🗼

Investing websites/blogs that I shared during the @FintwitSummit last weekend. With some minor changes and lot of additional commentary in the thread below. ⬇️⬇️


My investing diet 🗒️

✔️Zero Financial TV.

✔️Very little Market & Stock prices commentary/content.

✔️Lot of Company produced presentations/statements.

✔️ Lot of Investing Podcasts (thread some other time).

✔️Lot of below awesome content whenever I find time.

Tech : Have to start with my favorite sector

✅ @stratechery
For deeper understanding of Platforms and Aggregators.
https://t.co/VsNwRStY9C

✅ @benedictevans
Phenomenal essays related to

✅ @adam_hartung
Extremely good if you are into following & investing in strong/durable trends.
https://t.co/IOE1pmkqbi

✅ @BaillieGifford
Mind blowing, if you're into extremely patient and visionary style of

✅ @StackInvesting
Must read if you love the combination of Software + Investing
https://t.co/WQ1yBYzT2m

✅ @hhhypergrowth
Phenomenal writing if you love technical deep dives into SaaS
https://t.co/kcLKITRLz1

✅ @Beth_Kindig
Sharp Tech focused
ALL

More from Trading

Sajal Kapoor
Sajal Kapoor
@unseenvalue
On this auspicious day of #GuruPurnima, happy to share an easy to read and an exceptionally worthwhile investment. I plan to make a thread that will hopefully help us invest and live better. Thank you @awealthofcs 🙏🏻


Experience has taught me that less is always more when making investment decisions. Simplicity trumps complexity. Conventional gives you much better odds than exotic. A long-term process is more important than short-term outcomes.

And perspective goes much further than tactics. Tactics are useless to investors in a matter of days—sometimes in a matter of hours. But perspective is something that stays with the investor for a lifetime. It allows you to adapt to the changing market and economic landscape.

While keeping it simple won’t make it any easier to predict the future—no one has a crystal ball—it can give you the necessary capacity to make rational decisions, no matter what happens next.

Perspective is so important because, without it, even the most intelligent of investors can be ruined from a lack of self-awareness in their own abilities. Investors that fail to put the news or market moves into the proper context....[1/2]
TRADING
Aditya Todmal
Aditya Todmal
@AdityaTodmal
12 TRADING SETUPS used by professional traders:🧵

Collaborated with @niki_poojary

Here's what you'll learn in this thread:

1. Capture Overnight Theta Decay
2. Trading Opening Range Breakouts
3. Reversal Trading Setups
4. Selling strangles and straddles in Bank Nifty
6. NR4 + IB
7. NR 21-Vwap Strategy

Let's dive in ↓

1/ STBT option Selling (Positional Setup):

The setup uses price action to sell options for overnight theta decay.

Check Bank Nifty at 3:15 everyday.

Sell directional credit spreads with capped


@jigspatel1988 2/ Selling Strangles in Bank Nifty based on Open Interest Data

Don't trade till 9:45 Am.

Identify the highest OI on puts and calls.

Check combined premium and put a stop on individual


@jigspatel1988 3/ Open Drive (Intraday)

This is an opening range breakout setup with a few conditions.

To be used when the market opens above yesterday's day high

or Below yesterday's day's
OPTIONSLEARNINGS , TRADING , ALL
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Emperor\U0001f451
Emperor👑
@EmperorBTC
Technical Analysis Masterclass- Part 2

'Entering the trade'

Entering a trade without ascertaining a certain things is gambling.

In this masterclass we will learn the pre-requisites to enter a trade.

DON'T ENTER A TRADE WITHOUT DETERMINNG THE FOLLOWING.

Please share.

We understand what reward to risk (popularly called risk to reward) is.
It will be denoted by R:R.

We will also try to bust a few myths about R:R and how to avoid losing trades.

Before entering a trade, you need to determine 3 things.

1. Entry trigger
2. Stop loss
3. Target

1. Entry trigger = Reasons for entering a trade. There could be multiple reasons or a single reason for entry.

Generally a set of reasons AKA confluence is a higher probability trade and a generally a safer entry.

Example of an entry trigger.


2. Stop Loss.

The price in the opposite direction of the trade where the trade is exited, at a loss.

At this level, the reason for the entry becomes invalidated according to TA and the price can then move in the opposite direction, probabilistically.


3. Target is the possible price level that the asset might touch based on previous trends or confluence AND where a possible reversal could occur.

Target is the next path of least resistance from where the price might reverse.

We will always ONLY use TA to determine all 3.
TRADING
Gordon Gekko
Gordon Gekko
@GordunGekko
A small thread on momentum investing and how I practice it.

I use the Nifty 500 universe for selecting my momentum stocks. Nifty 500, as the name suggests, has 500 companies in it. WRONG !!!! It actually has 501 companies. Yes, I double-checked 🙂 So, these 501 companies is

my talent pool (if you will) from which I select the 50 best candidates that I want to bet my money on.

Ok. So, exactly, did I go about doing that.

Step 1: Start with Nifty 500 universe (501 companies)

Step 2: Eliminate all those companies which have a listing history of

less than 1 year. This eliminated 25 companies (see table).

Step 3: For the remaining 476 companies, I computed their last 12-month rolling price returns (meaning, comparison of their price as on March 31, 2022 as compared to that as on March 31, 2021, and then computing the %


gain that each of those stocks have earned. I found out the following:

a) Average return of all the 476 companies was 43.27% (meaning if their average price as on March 31, 2021 was 100, then their average price as on March 31, 2022 was 143.27)

b) Out of these 476 companies

140 companies, gave a negative return.

c) Out of the balance 336 companies, 46 companies gave single-digit returns

d) Out of the balance 290 companies, 101 companies gave a return between 10-30%

e) Out of the balance 189 companies, 55 gave returns between 30-50%
TRADING , TRADING GUIDES
Trader Abhishek
Trader Abhishek
@KillerTrader_
Introduction to imbalance charts (orderflow trading):

A 🧵

(1/n)

Orderflow charts essentially show the real time buying and selling happening in the markets.

In below chart, you can see how market sell orders are shown to the bid side and market buy orders are shown to the ask side.

(2/n)


Using this, one can identify big buying and selling happening at various prices.

Imbalance charts takes this one step forward. How so? Read on to find out.

(3/n)

Imbalance charts shows buying and selling imbalances at various price points. How does it matter?

Imbalance here implies to what extent is buying more than selling and vice versa.

(4/n)

Why is that important? As a trader, if we know that buying at a particular level is x times more than selling or vice versa, it would help us understand the strength of supply or demand coming into the market.

(5/n)
ALL , TRADING

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Tej Dosa \U0001f602\U0001f9e0
Tej Dosa 😂🧠...
@ComedicBizman
(A THREAD)

18 Things I Would Do At 18:

I was a dumb 18-year-old. I thought I had the world figured out. I didn't.

I stayed up till the wee hours. Drank every liquor invented.

Partied non-stop. Woke up after noon.

Surfed the web aimlessly.

Read BS self-help.

Repeat.

If I could do it all over again, here's 18 things I would do...

PHASE ONE: GET MY MIND RIGHT

ACTION #1: Break the chains - I wish I made the decision earlier. I didn't. I was scared. Anxious. Nervous. I knew once I made the decision, there was no going back.

Don't be like me.

Make the decision at 18. The decision to pave your own path in life. To go against the herd. To choose your own adventure. To commit to whatever sets your heart on fire.

ACTION #2: Cut off every negative person in your life.

Scroll through the contacts in your phone...

Notice how the names make you feel.

Delete any and all names that fill you with doubt and negativity.

ACTION #3: Condition your mind to embrace the producer mindset instead of the consumer mindset.

Consume 20% of the time. Produce 80% of the time.

Case closed.

ACTION #4: Set an intention to make $10k a month and write it out every MORNING and NIGHT as if you already achieved it (in the past tense).

Visualize yourself already having the money as you write.

Cheesy?

Yes.

Does it work?

Yes.

PHASE TWO: EDUCATION
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Patrick McKenzie
Patrick McKenzie
@patio11
Some people really benefit from hearing advice that everyone knows, for the same reason we keep schools open despite every subject in them having been taught before.

In that spirit, here's some quick Things Many People Find Too Obvious To Have Told You Already.

Your idea is not valuable, at all. All value is in the execution. You think you are an exception; you are not. You should not insist on an NDA to talk about it; nobody serious will engage in contract review over an idea, and this will mark you as clueless.

Technologists tend to severely underestimate the difficulty and expense of creating software, especially at companies which do not have fully staffed industry leading engineering teams ("because software is so easy there, amirite guys?")

Charge more. Charge more still. Go on.

The press is a lossy and biased compression of events in the actual world, and is singularly consumed with its own rituals, status games, and incentives. The news necessarily fails to capture almost everything which happened yesterday. What it says is important usually isn't.

Companies find it incredibly hard to reliably staff positions with hard-working generalists who operate autonomously and have high risk tolerances. This is not the modal employee, including at places which are justifiably proud of the skill/diligence/etc of their employees.
TECH
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KrishnaLeela
KrishnaLeela
@Talesofkrishna
🌿𝑻𝒉𝒆 𝒔𝒕𝒐𝒓𝒚 𝒐𝒇 𝒂 𝑺𝒕𝒂𝒓 : 𝑫𝒉𝒓𝒖𝒗𝒂 & 𝑽𝒊𝒔𝒉𝒏𝒖

Once upon a time there was a Raja named Uttānapāda born of Svayambhuva Manu,1st man on earth.He had 2 beautiful wives - Suniti & Suruchi & two sons were born of them Dhruva & Uttama respectively.
#talesofkrishna https://t.co/E85MTPkF9W


Now Suniti was the daughter of a tribal chief while Suruchi was the daughter of a rich king. Hence Suruchi was always favored the most by Raja while Suniti was ignored. But while Suniti was gentle & kind hearted by nature Suruchi was venomous inside.
#KrishnaLeela


The story is of a time when ideally the eldest son of the king becomes the heir to the throne. Hence the sinhasan of the Raja belonged to Dhruva.This is why Suruchi who was the 2nd wife nourished poison in her heart for Dhruva as she knew her son will never get the throne.


One day when Dhruva was just 5 years old he went on to sit on his father's lap. Suruchi, the jealous queen, got enraged and shoved him away from Raja as she never wanted Raja to shower Dhruva with his fatherly affection.


Dhruva protested questioning his step mother "why can't i sit on my own father's lap?" A furious Suruchi berated him saying "only God can allow him that privilege. Go ask him"
RELIGION
SK
SK
@sk_diary1
A #story from #Thiruvilayadal puranam-one of divine leelas of Bhagwan Shiva

#threadseries #Madurai

Story 16- it is about how Bhagwan Shiva explained the meaning of Vedas to the Rishis.

வேதத்துக்குப் பொருள் அருளிச் செய்த படலம்


Once there was a great deluge,everything in the world was destroyed.All lifeforms that existed got perished.Afterwards ,due to Bhagwan Shiva creation started.Then from Bhagwan Shiv ji's mouth-birth of 🕉 OM- Pranavam happened.From Pranavam,4 vedas appeared. Rishis learned them.

Many Rishis in Naimisharanya learned Vedas&recited them but they didn't understand the meaning&essence of Vedas. They were worried as they couldn't find any guru who can teach them the meaning of Vedas.That time,Rishi Arabhatar visited them.Rishis told him about need their worry.

Rishi Arabhatar told them that Bhagwan Shiva has given Vedas &he would be grateful enough to teach the meaning as well.But for that rishis have to rigorous penance at a sacred place.Also told them to go to Sundareswarar temple in Madurai to do tapas in front of Dakshinamurthy.

Assured them that Dakshinamurthy himself will come & teach them.Rishis proceeded to Madurai & started their tapas in front of Dakshinamurthy sannidhi for almost a year starting from Karthigai month pournami to next year Karthigai month pournami following all rituals..annadan
ALL
Nikita Poojary
Nikita Poojary
@niki_poojary
Mr. Vijay Kedia built a net worth of over Rs. 800 crores.

But you probably never read past that headline.

So I binged hours of interviews to learn his investing principles and strategies.

Here are 20 lessons on investing from @VijayKedia1 Sir:

Collaborated with @AdityaTodmal


Before I start, a quick disclaimer, please don't ape his portfolio.

As the entry price, horizon and risk appetite would be far different than yours.

Rather lets draw inspiration and try to learn his stock picking skills.

Now let's DIVE IN👇

1/ Started off as a trader:

- Soon, beginner’s luck started to fade out and loses started to mount, to an extent where his mother was about to sell her ornaments.

- Although he was able to dodge the situation.

- This incident taught him the biggest lesson to have a stop-loss.

2/ Punjab Tractors:

- In 1990, he made his first investment by putting in his 10-years savings of Rs 35,000 in this stock, based on a news trigger that tractor industry will witness a turnaround.

- It worked and fetched him 4-5 times which he calls it as a fluke.


3/ He believes that an investor must possess three qualities:

i. Knowledge,
ii. Courage, and
iii. Patience.
GENERICLEARNINGS , ALL


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