Welcome to Investor Talk โ where we interview successful investors to uncover their journeys, strategies, and the lessons they've learned. Get inspired by real stories and gain valuable insights to sharpen your own investment approach.
Every interview follows the same set of sharp, insightful questions โ such as โWhat is your investment strategy?โ, โWhat are your highest conviction stocks?โ, and โWhatโs the biggest investment mistake youโve made?โ
In this edition, we have the pleasure of interviewing:
Name: Invest In Assets @InvestInAssets
Age: 30
Residence: Norway
Invests since: 2015
๐๐ป๐๐ฟ๐ผ๐ฑ๐๐ฐ๐๐ถ๐ผ๐ป
I spent 5 years getting a masters degree in international business. After finishing my degree I was hired by a technology firm to help them develop their product portfolio as a jr. product manager. I continued to take on responsibility and was promoted to a product manager after 1.5 years. I believe both my education and work as a product manager helps me make better investment decisions, and stay updated on the latest technology trends.
I was introduced to investing in 2015. What spiked my interest was learning about compound interest from several books. First from the classic โRich dad, poor dadโ. This curiousity spiraled into reading more than 50 books in personal finance and investing in my first year. I was obsessed.
I dabbled in several investing disciplines before finding my footing in long-term quality based investing. I tried to be a day trader, swing trader, real estate investor all at once. It was a lot of work for very low returns.
Business has always fascinated me - why some companies are successful and can go 10x-100x, while other businesses crash and fail. What I like about investing is that it is an activity that tests your intellect, but mostly your temperament. I believe the most important skill an investor can have is to be driven by facts and fundamentals instead of emotions. We are hard-wired to suck at investing, re-wiring your mind for investing success takes time, but is worth it.
I spent 2-3x more time on styding investing than for my masterโs degree, it was and is my true passion - but I was discouraged to pursue a career in finance by a mentor. He told me it would be better to study the greats, and build my own track record as an investor.
๐ช๐ต๐ฎ๐ ๐ถ๐ ๐๐ผ๐๐ฟ ๐ถ๐ป๐๐ฒ๐๐๐บ๐ฒ๐ป๐ ๐๐๐ฟ๐ฎ๐๐ฒ๐ด๐?
I have outlined my investing strategy in an article: https://t.co/nHGb4Ikcbm
In short, I invest in companies that are considered of high quality, which entails:
- Growth in revenue, earnings and cash flows
- High returns on capital
- High reinvestment rates
- Solid margins compared to peers
- High level of cash conversion
- Are not dependant on debt to grow
- Strong balance sheet with a lot of cash
- Ideally at an attractive price
๐๐ผ๐ ๐บ๐ฎ๐ป๐ ๐๐๐ผ๐ฐ๐ธ๐ ๐ฎ๐ฟ๐ฒ ๐ฐ๐๐ฟ๐ฟ๐ฒ๐ป๐๐น๐ ๐ต๐ฒ๐น๐ฑ ๐ถ๐ป ๐๐ผ๐๐ฟ ๐ฝ๐ผ๐ฟ๐๐ณ๐ผ๐น๐ถ๐ผ?
12 positions.
๐ช๐ต๐ถ๐ฐ๐ต ๐๐ฒ๐ฐ๐๐ผ๐ฟ๐ ๐ฑ๐ผ ๐๐ผ๐ ๐บ๐ฎ๐ถ๐ป๐น๐ ๐ณ๐ผ๐ฐ๐๐ ๐ผ๐ป?
I dont like the commonly accepted sector distribution, but I would say that I focus on what I understand or want to understand:
- Consumer products
- Technology/Software (SaaS)
- E-commerce
- Healthcare
๐ช๐ต๐ฎ๐ ๐ฎ๐ฟ๐ฒ ๐๐ผ๐๐ฟ ๐๐ผ๐ฝ ๐ฏ ๐ต๐ถ๐ด๐ต๐ฒ๐๐ ๐ฐ๐ผ๐ป๐๐ถ๐ฐ๐๐ถ๐ผ๐ป ๐๐๐ผ๐ฐ๐ธ๐?
$EVO.ST - Evolution Gaming
$V - Visa
$CSU.TO - Constellation Software
๐ช๐ต๐ถ๐ฐ๐ต ๐๐๐ผ๐ฐ๐ธ ๐ต๐ฎ๐ ๐๐ต๐ฒ ๐ต๐ถ๐ด๐ต๐ฒ๐๐ ๐ฟ๐ฒ๐๐๐ฟ๐ป?
$GOOGL - Google +143%
๐ช๐ต๐ฎ๐ ๐ถ๐ ๐๐ต๐ฒ ๐ฏ๐ถ๐ด๐ด๐ฒ๐๐ ๐ถ๐ป๐๐ฒ๐๐๐บ๐ฒ๐ป๐ ๐บ๐ถ๐๐๐ฎ๐ธ๐ฒ ๐๐ผ๐ ๐ต๐ฎ๐๐ฒ ๐บ๐ฎ๐ฑ๐ฒ?
Invested 50% of my portfolio into a popular name a few weeks before earnings. As they had beaten the last 20 consecutive quarters I was sure they would do it again. Of course, the report was horrible, sending the stock down 15-20%. It was a costly mistake at that time, but the money I lost then is now peanuts. A very valuable lesson I am glad happened early in my investing career.
๐ ๐ ๐ณ๐ฎ๐๐ผ๐ฟ๐ถ๐๐ฒ๐
Favorite book: 100 baggers - Chris Mayer
Favorite podcast: We Study Billionaires @WSBPodSummaries
Favorite quote: โIt ainโt what you donโt know that gets you into trouble. Itโs what you know for sure that just ainโt soโ - Mark Twain
Favorite FinTwit account: 10-K Diver @10kdiver
๐ช๐ต๐ฒ๐ฟ๐ฒ ๐ฐ๐ฎ๐ป ๐๐ฒ ๐ณ๐ถ๐ป๐ฑ ๐บ๐ผ๐ฟ๐ฒ ๐ถ๐ป๐ณ๐ผ ๐ฎ๐ฏ๐ผ๐๐ ๐๐ผ๐?
I help investors save time and implement effective concepts to their investing process by sending a weekly email, you can subsribe here: http://t.co/NtakLG5Bp4
Disclaimer:
The information and opinions provided in this article are for informational and educational purposes only and should not be considered as investment advice or a recommendation to buy, sell, or hold any financial product, security, or asset. The Future Investors does not provide personalized investment advice and is not a licensed financial advisor. Always do your own research before making any investment decisions and consult with a qualified financial professional before making any investment decisions. Please consult the general disclaimer for more details.