Personal Investment Strategy

[galumay]

Hi All

Just personally, I look for themes when I invest.

My view is the retail investor can't beat the professionals and the robots without a long term view.

The professionals will arbitrage any value in the market long before a retail investor will.

Thoughts?

Happy investing!

Hi you, not sure why you popped up in my thread, but...

I hope you find a theme!

My view is the retail investor doesnt need to 'beat' the pros and bots, there is room for everyone to play the game!

The pro's have shown a remarkable consistency over generations of having not the slightest idea of what value is, let alone arbitraging it. Do some analysis of every boom and every crash.

 

[lemongrass1]

Any updates, galumay?

 

[galumay]

Any updates, galumay?

Not really, I havent bought anything or sold anything, i used to reinvest the dividends so I could post about that, but now i put the dividends into my SMSF as its more tax effective to invest them in there.

The only other general comments I would make is that CDA are a nice turn around story, I averaged down into these and now they are not far off being in the black again. In my mind it shows the importance of buying companies where the fudamentals are good enough to survive a business disaster.

ITL are still in the red, its just a matter of time before the market reprices this company, its worth so much more than where it is.

NWH, obviously the big drag on the portfolio, I clearly paid way too much for it, wish I was buying it now at sub 20c!! I believe it will be a long term turn around story, but you need big hairy, contrarian balls to have a position in this company!

Because I am fully invested and the divvy stream goes to the SMSF its not likely that I will post here very frequently, but always happy to discuss strategies, philosophies and so on!

 

[sydboy007]

well worth a read if you're a semi passive value investor

http://blog.alphaarchitect.com/2015...cision-when-selecting-a-value-investing-fund/

It is a strange, and somewhat tragic reality that investors’ “timing” behavior is not reflected in the time-series performance numbers of value investing funds. One wonders if people would do better, and be less active, if they knew how much they were hurting themselves through their timing efforts, and all their buying and selling. Probably not. But maybe that’s a good thing for committed, hard-core value investors, since this may be a source of sustainable alpha in the value anomaly. Under this interpretation, in a sense, value works because value underperforms at times, and return-chasing fund investors get discouraged and leave the strategy, setting the stage for outperformance for those who remain.

 

[galumay]

well worth a read if you're a semi passive value investor

http://blog.alphaarchitect.com/2015...cision-when-selecting-a-value-investing-fund/

Thanks sydboy007, an interesting article. I hadnt seen that blog before so added to my (lengthy) reading list.