Balancing actMarch 28, 2023 2023-07-19 8:23
Letter # 117
A stock declines 90% once, 50% at another time, and over 20% on multiple occasions. Focus on the volatility, and you lose out on 1700 times returns in just two decades! Building conviction is important when dealing with stocks, but what about the portfolio framework?
Today, we write in ET about how losing perspective (focusing on bits of information rather than the whole) can lead to disastrous outcomes. And it is often too late before one realises;
Read here: https://tinyurl.com/yrkc7hrt
If you have missed any of our previous articles, we invite you to peruse them on our website: https://www.buoyantcap.com/news-resources/memos/
Information in this letter is not intended to be, nor should it be construed as investment, tax or legal advice, or an offer to sell, or a solicitation of any offer to make investments with Buoyant Capital. Prospective investors should rely solely on the Disclosure Document filed with SEBI. Any description involving investment examples, statistical analysis or investment strategies is provided for illustration purposes only – and will not apply in all situations and may be changed at the discretion of the principal officer. Certain information has been provided and/or based on third-party sources and although believed to be reliable, has not been independently verified; the investment managers make no express warranty as to its completeness or accuracy, nor can it accept responsibility for errors appearing herein.