I love your take on beta is not risk and the detailed analysis. That is why US big tech can act as hedges when they have the earnings, profitability, and margin growth to support their performances!
100% agree. Came up in a culture where the rest of the portfolio was a hedge against tech risk. Meanwhile, that was where the durable earnings growth was.
I love your take on beta is not risk and the detailed analysis. That is why US big tech can act as hedges when they have the earnings, profitability, and margin growth to support their performances!
100% agree. Came up in a culture where the rest of the portfolio was a hedge against tech risk. Meanwhile, that was where the durable earnings growth was.
Great read on Beta. Many investors get lulled into the low vol, weak returns trap and avoid great companies.
Totally. Too much ‘margin of safety’ crowd hating on great companies because of their ‘DCF’ intrinsic value.
Best margin of safety is buying a company that will be 200% bigger in five years. Just re-rating risk then, and that’s overplayed