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7 moats of great investors
An insight from legendary value investor Mark Mobius
1. It’s an obsession: you don’t enjoy investing you live it.
You wake in the morning and you check your portfolio. Before you go to sleep you’re thinking about a stock you have been researching
An insight from legendary value investor Mark Mobius
1. It’s an obsession: you don’t enjoy investing you live it.
You wake in the morning and you check your portfolio. Before you go to sleep you’re thinking about a stock you have been researching
2. Buy in a panic & sell during a bubble
Easier said than done, if your portfolio significantly decreased in 1987 or 1999 or Q1 2020, did u have the balls to double down and put more significant capital to work, even as u watched your portfolio value decline?
Easier said than done, if your portfolio significantly decreased in 1987 or 1999 or Q1 2020, did u have the balls to double down and put more significant capital to work, even as u watched your portfolio value decline?
3. Learn from mistakes
What sets average investors apart from great investors is an intense desire to learn from their own mistakes so they can avoid repeating them
Average investors much rather to move on and ignore their mistakes of the past
What sets average investors apart from great investors is an intense desire to learn from their own mistakes so they can avoid repeating them
Average investors much rather to move on and ignore their mistakes of the past
4. Common sense view of risk
The greatest risk control is common sense. When $GME was up 500% in a few days, common sense says to resist and don’t buy into hype.
Common sense prevailed
The greatest risk control is common sense. When $GME was up 500% in a few days, common sense says to resist and don’t buy into hype.
Common sense prevailed
5. Conviction
Great investors have confidence in their own convictions having done the hard and dirty work of their in depth financial analysis
Even when faced with criticism, great investors can acknowledge the bear point but their conviction in their analysis does not waver
Great investors have confidence in their own convictions having done the hard and dirty work of their in depth financial analysis
Even when faced with criticism, great investors can acknowledge the bear point but their conviction in their analysis does not waver
6. Left and right side of brain turned on
Left side:
Analytical side; be able to read financial statements, perform calculations and financial analysis, and interpret the story behind the numbers
Left side:
Analytical side; be able to read financial statements, perform calculations and financial analysis, and interpret the story behind the numbers
Right side:
Ability to take a step back at the big picture view of certain situations rather than over analysing.
Ability to be a good writer, if u can’t write clearly, it is likely u don’t think very clearly. And if you don’t think clearly, you’re in trouble
Ability to take a step back at the big picture view of certain situations rather than over analysing.
Ability to be a good writer, if u can’t write clearly, it is likely u don’t think very clearly. And if you don’t think clearly, you’re in trouble
7. Arguably the most important..ability to live through volatility without changing your investment process
Short term vol does not equate to longterm risk. Risk means if u are wrong about a bet, you lose money. If your process leads to strong LT decisions, ignore ST volatility
Short term vol does not equate to longterm risk. Risk means if u are wrong about a bet, you lose money. If your process leads to strong LT decisions, ignore ST volatility
