Update and time to get serious

Ok, its been a really long time since I blogged on this website.  No, I have not been lazy but rather I have been quite active trading stocks.  This blog will be more active henceforth as I believe it will do me good to articulate my investment ideas.  Below is a synopsis on the lessons I have learnt.


1) Do not sell the stocks that make you money
2) Sell the stocks that you lose money
3) Never go all in.  If you feel good about a stock, put in 10% of your intended investment as a feeler
4) Your perspective changes the way you examine a stock once there is money involved
5) Save time by having filters.  If it does not pass any of the filters, do not waste your time.

• Filters are (i) reliable and competent management, (ii) are the margins good? and (iii) low leverage

6) Always look at the stock as a business, not a stock.  Is it a good business? Is it cheap? Why is it cheap?

• I am investing in this stock because (i), (ii) and (iii)...  the risk identified is (i), the probability of return is ... and the risk of capital is ...

7) Every investment decision is stepping into the UFC ring.  Go in prepared because your opponent will be.
8) Create a watchlist of stocks and assign a FAIR VALUE