… And so it begins

On this blog I will document thoughts and trading for my new portfolio. I have a general idea of the strategy I want to explore, nothing is set in stone and things will likely change over time.

In recent years I have spent a great deal of time analyzing and reading up on securities and companies. I have gained a fair deal of experience from this and also had some good performance. However, I feel my stock-picking has been too random I have frequently doubted choices and made unnecessary or poor trades.

In an attempt to give myself more peace of mind as well as a structured approach to investing I have decided to start this portfolio.

My strategy

  • Purchase price is important for long-term performance. Focus on objectively cheap companies, e.g. net-nets and low p/b.
  • Evaluate investments on a annual basis. Day to day price changes is usually noise, the intrinsic value of company don’t change much from one day to another.
  • Don’t over-analyze. Stuff will happen and I will not be able to foresee half of it. Mitigate the risk by diversification and looking for high margin of safety.

The goal is to gradually build a portfolio of at least 20 holdings. The basis for the stock-picking will be quantitative screening followed by qualitative analyzes of short-listed companies. Will look for bargains on as many stock markets as possible.


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