I’ve been managing my own as well as family members’ portfolios for several years now. I love the investing process, getting to learn about a variety of new and interesting companies, learning about investing psychology, and all the myriad things that contribute to successful (and from time to time, not so successful) investing outcomes. A big component of my investing philosophy is to try to have my errors be largely skewed towards errors of omission rather than errors of commission, as the former are much less expensive than the latter. As such, my writing has been and, I expect, will be much more about opportunities I pass on rather than investments I make. I’m really looking for investment opportunities that “hit you like a 2×4-to-the-head with how obvious they are,” to paraphrase Mohnish Pabrai. Because most investment opportunities are not like this, I haven’t in the past and I continue to not expect to issue a lot of buy theses. I do hope, therefore, that when I do suggest something is a ‘buy,’ that makes such suggestions more meaningful.With this in mind, it shouldn’t be surprising that I am looking for investments that are worth taking a concentrated position in – for example, 5-10% of the portfolio, if not larger. Anything smaller than this doesn’t strike me as worth the time and effort required. Buying some sort of index fund strikes me as making more sense than taking such an approach. I don’t claim to be an expert on most things, so when I go wrong, I will be looking forward to an education from the smart readers and participants of the SeekingAlpha community. Happy investing!
Analyst’s Disclosure: I/we have a beneficial long position in the shares of FF either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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