Research-Driven Insights for Long-Term Investors
We analyze businesses, industries, and investment opportunities through the lens of long-term value creation, helping investors think like owners, not traders.
Our newsletters are only for long-term investors and big thinkers, if you are one of them, send a request to join our club!
We take a different approach to investing!
Every day, investors are overwhelmed with predictions, opinions, and market noise.
We believe successful investing starts with understanding businesses, not guessing where prices will move tomorrow.
Through detailed company research, industry analysis, and timeless investing principles, we aim to help investors make more informed decisions.
Uncomfortable Undeniable Truths
Not to brag or be overconfident but we’ve done pretty well since inception with a compounded annual return of 19% per annum. With such performance, it is easy to get used to the high returns and assume this is the norm. However, there are some cold hard truths which we want to make sure our readers are aware of:
We are boring investors. We believe in investing in stocks we understand, have some insight as to why the stock will do well and are trading at valuations we are comfortable with. We might not invest in hot and trendy stocks, this might give a feeling that we are missing out.
We invest in a long-only portfolio. We don’t short stocks, we don’t use leverage, we try to keep it as simple as possible.
We don’t diversify for the sake of it. We invest in companies after deep dive and if we understand it, have some insights we don’t need diversification. If we don’t understand it and don’t have any insight, we don’t invest in it. Diversification is not the mindset with operate with.
There will be long periods where we’ll underperform the benchmark. We cannot be sure how long they will be. Returns are not guaranteed however we believe over the course of four to five years, we will outperform the index.
There will be stocks in our portfolio which will go to zero. We sure don’t look for them but we believe errors in this business are unavoidable and permanent loss of capital is likely.
A small portion of our bets will lead to outsized returns. It is very likely that the majority of our bets lead to nominal returns or no returns.
Macroeconomic parameters affect us in the short-term. We pay no attention at all to macroeconomic parameters like interest rates, geopolitics, debt levels and similar others however businesses do get affected with it and it will affect our performance in the short term.
