FinallyFoolin 2023 Review

There were many ups & downs for my portfolio, many challenging decisions (fighting instinct and trying to make unemotional decisions). Many lessons learned (and re-learned). The results were very good this year! My 3 year is still negative due to the really bad 2022. 1, 5 and 10 year returns beat all the indexes.

My strategy is based on knowing myself. I’m not the best/smartest investor. I have a full-time job so can’t spend all my time on my portfolio (although I spend more than I should). I am in tech and understand tech (and especially data) so prefer to invest in what I know.

More on my strategy.
1. Hold a concentrated portfolio (usually 7-10 companies).
2. Focus on fundamentals & execution and look for companies I can hold for a long time. Companies with a moat in an industry that is growing by leaps and bounds!! Data & Cyber security take up the majority of my portfolio.
3. Focus on the big picture.
a. Don’t nit-pick great companies
i. “leadership missed their guide” - What else is going on? Is it internal or external? Are proper steps being taken? Does the company have a history of fixing issues? Is the company still moving the company towards the overall goal?
ii. “Leadership isn’t good on earnings calls” - Elitist mentality IMO; Elon Musk is an easy example. Jay Chaudhry is on this list too IMO. There are others in my portfolio that fall in this category as well. Better question: Is the company executing?
1) Similar to my single days & my dating strategy way back then, don’t let the words sway you, look at the actions being taken.
iii. Some obscure number doesn’t work (Billings, SBCC, etc…). IMO, focusing on things like this brings my focus to short-term. Making it likely for me to miss the forest thru the trees.
b. I hear investors say things like, “I know data/AI is gonna be a winner but I think it’ll be in another year”. Don’t get cute with obvious winners.

2023 = 59%

TRANSACTIONS:
I didn’t make any transactions in December. However, I’m considering a few things.

ON MY MIND:
I’m considering the following.
1. Lower my over 20% positions to 20% (as of now, its just ZS).
2. Open position in AMD
a. Debating straight-up adding or balancing between NVDA
b. Reasoning → 80/20 rule. Most AI workloads (80) will not need the best GPUs. GPUs will be required for most future applications.
3. Lower/raise or up CFLT position
Up SNOW position - they’re going to accelerate revenue percentages

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