Reminder to board participants

At Saul’s board we don’t make buy or sell stock recommendations. Each one of us has to make up his own mind about what to include or exclude from his/hers/its portfolio.

A positive review is not a recommendation to buy and a negative post is not a recommendation to sell. It’s just an opinion based on the poster’s experience. The function of the board is to present ideas and points of view, not to manage your portfolio.

I post this because there is no need to get defensive. Listen to the opinions, do your research, and reach your own conclusions.

Denny Schlesinger

58 Likes

Hey there !!

This statement from Denny:
A positive review is not a recommendation to buy and a negative post is not a recommendation to sell. It’s just an opinion based on the poster’s experience. The function of the board is to present ideas and points of view, not to manage your portfolio.

How do we convey this to the droves of new investors that are coming to Saul’s board? Are they looking for someone to do the work for them? Are they thinking “hey - this investing is where I can get rich quick” or something?

The Fool has volumns of educational material available … how do we get them to learn that before coming here?

OK … so what’s the supreme stock that’s cheap and will go up 6000% in the next week so I will be rich? OH … WAIT !!

Thanx,
Rich (haywool)

1 Like

Human nature is what it is and I would think, not some, but most people would look at Saul’s or Paul’s, Chris’s or Tinker’s success and think, “I will just match their holdings”.
In my case I have been investing for myself for over 40 years with moderate success, beating the S&P 500 by a percent or two, on average, year after year.
I found this board in early 2015 and have read it every day since. My returns over those five years have been about 25 percent per year, outstanding for me, but far below Saul’s. I continued to hold, so called safe stocks, but the the thing holding me back even more is the fact that when a stock starts getting a lot of attention on the board I study and study and usually buy in after it has had a strong run. This goes back to the days when we were using the YPEG and investing in more traditional stocks. So if Saul buys at 18 I buy at 36 or 48 etc. It takes me a long time to decide I trust a company enough to invest in it. So doing the work myself has costs me a lot of money. So many times over those years I have looked at Saul’s returns and thought “why don’t I just copy his portfolio, I would be so much better off”. I can take a certain amount of pride in the fact that I did it myself, but I would have a lot more money if I had swallowed my pride and just followed people that are better at investing than I am. I think most people would take that approach.
YTD I am up 46 percent which is unbelievable for me, but think about the shape I would be in if I had just matched Saul’s portfolio in Jan and matched him move for move.
The temptation is tremendous.
Just my thoughts
Mike

33 Likes

How do we convey this to the droves of new investors that are coming to Saul’s board? Are they looking for someone to do the work for them? Are they thinking “hey - this investing is where I can get rich quick” or something?

Here’s a suggestion for the moderators: create periodic messages, like Monday Morning Rules of the Board, whose subject line is: A Reminder to Do Your Research! (or something like that). Given the volume of posts, highly specific subject lines would be helpful.

As to Mike/oolagah’s point…the thought has crossed my mind to copy Saul’s portfolio except I don’t think I could stomach having 20% of my portfolio in one company without having done my own research. Because if the price drops a lot, and I don’t understand the business, that is much more stressful than if I had a strong conviction based on my own due diligence. My largest position (SHOP) grew organically and, in the process, so did my conviction in their business and my capacity for having more than 5% of my portfolio invested in one stock. Copying someone else might yield more money but probably isn’t as satisfying as doing the legwork oneself. It could be even more terrifying if things go south.

8 Likes