A letter a day!

A letter a day

Letter #5 from 1960

Half-yearly letter

Key learnings:

1. One year is far too short a period to form a kind of opinion as to investment performance and measurements based on 6 months become even more unreliable.

2. Preferable test of performance should be 5 years in both strong and weak markets.

3. At all times, have some portion of allocations in the company that is not impacted by immediate price movements and this portion should increase as the market advances.

4. The adoption of skin in the game. Invest your personal money only in stocks in which you will put your client’s money. This way your result will be directly proportional to the client’s returns.

A letter a day(WB1960)HY_Aashka Trivedi.pdf (155.2 KB)