We lost a legend today. RIP Charlie
There are too many lessons to count, and they'll last well beyond his 99 years.
"Assume life will be really tough, and then ask if you can handle it. If the answer is yes, you've won"
Next week I'm interviewing Monsoon Pabrai (
@Typhoon_Girl
) on life, investing, and recently starting her fund - Drew Investments.
If you have any questions you would like me to ask Monsoon, let me know!
Fun fact: my left leg is in this photo ๐
Warren Buffett is arguably the world's best bank investor. Yet, in 2008 he made close to a 100% loss in two Irish Bank stocks that he thought were cheap
A thread ๐งตโฌ๏ธ
It was great fun recording a podcast with
@GSpier
late last week. Episode should be live in the next couple of days - excited to get this one out into the wild :)
1/ Warren Buffettโs best career returns were in the 1950โs and 60โs, when working with โsmallโ sums.
Here are a few (of many) of the investments he and Charlie Munger made early on, to generate the best returns of their careers
โฌ๏ธ
Charlie Munger to step down as $DJCO chairman.
Munger acquired the company with Rick Guerin in 1977 for $2m. Today the market cap is $428m... What a run!
The podcast with
@GSpier
is live!
Huge thank you to Guy for taking the time to speak with me, even though he was a bit under the weather - it was a lot of fun :)
Video version below:
If I offered to sell you a bank account with a balance of $100k, what would you pay me for it?
Most rational people would of course say no more than $100k (what's the point otherwise).
But, what if this account had a couple of unique properties?
A thread ๐งต
Is Buffett's big oil bet any more complicated than these two points?
1) Long term oil prices will be higher than most people expect
2) Most/all owner earnings will be directed towards buybacks and dividends (ie. little/no investment for growth)
Podcast w/ Monsoon Pabrai (
@Typhoon_Girl
) will be live on YT and all audio platforms within the next hour!
We talked: Meeting Buffett, Chinese Tech, Moutai and much more
"Invert, always invert" - Charlie Munger
Well, in the spirit on Charlie's famous speech on how to guarantee a miserable life, here are my top five tips for horrible investment results in 2023.
A thread ๐งต
Not sure why itโs taken me so long to get to this one. VERY good so far
@frankinvesting
@brettkellySYD
thanks for the recommendation a while back ๐
$BABA Cloud business EBITA profitable (just) for the first time (now 9% of total revenue)
Fiscal '22:
74.6b RMB rev. (+23% YOY)
1.2b RMB EBITA (vs. -2.3b last year)
2025 cloud market size estimate ยฅ1t RMB. Current $BABA cloud market share ~37%
Will they maintain that share?
Pod with
@MattPetersonCFA
goes live tomorrow! Major updates on Seritage, DJCO, Alibaba & Tencent, plus answers to several audience questions from here on twitter :)
What multiple of book or earnings seems appropriate for this business:
-Consistent 20%+ ROIC & 40%+ ROE
-Dividends out ~30% of earnings
-Deploys the balance into: aggressive debt repayment, >20% ROIC acquisitions, or opportunistic buybacks
No spoilers if you know the ticker!
1/ Can you beat the market by shamelessly cloning the best investors?
I setup a $100,000 model portfolio to find out!
Cloning guidelines and returns so far
โฌ๏ธ
Valuation isn't even a question with $BABA at this point
The real questions are:
Will foreign investors be allowed to own the asset(s) long term (VIE)?
and, will the company be forced to "pledge" their cash flows ad infinitum?
Full podcast episode with
@GSpier
goes live in just under 7hrs from now!
Hereโs a short clip from the interview on how Guy thinks through sizing investments in his portfolio
Exciting news!
I'll soon be dusting off the microphone to make a guest appearance on 'The Young Investors Podcast' with
@NewMoneyYouTube
@hamish_hodder
. It's been a while, but I'm pumped to get back to talking all things investing!
Keep your eyes peeled for an episode soon :)
China will keep capital markets stable and adopt effective policies to handle property developersโ risks, a meeting of top financial leaders said, according a report by state media Xinhua via
@markets
Later this week I'll be recording a podcast with $KPG CEO and founder
@brettkellySYD
. Reply to this with any questions you have for Brett!
Throwback to Berkshire '22 below :)
#whereisMohnish
First thing tomorrow a 2022 podcast highlights episode goes live!
It's been an amazing year of interviewing several special guests, and I'm excited to get this one into the wild to finish off 2022 ๐
Just finished recording a pod with
@brettkellySYD
He's one hell of a guy, with an emotional come up story.
Brett was generous with his time, is full of wisdom, and I get the feeling he's only just getting started over at $KPG.AX
Can't wait for people to see this episode!
$OXY over the past three years:
Enterprise value +29%
Market cap +290%
Share price +317%
Quite a remarkable example of the power of simply paying down debt and buying back shares, rather than growing for the sake of growing
Over four years after uploading, this video still accounts for almost 30% of my YT subscribers.
Tonight, I'm uploading an updated version!
Keep an eye out for it and let me know what you think once it's live :)
"Praise by name, criticize by categoryโ - Warren E. Buffett
Iโm guilty of not following this advice from time to time, but trying my best to limit how often I violate this rule!
Been struggling to hit your daily requirement of vegetables? ๐ฅฆ
Well you're in luck, because this week I'm interviewing Jake Taylor (
@farnamjake1
) on all things investing, plus the recent launch of
@JournalyticApp
!
If you have questions you'd like me to ask Jake, let me know!
โValue is determined by the cash inflows and outflows - discounted at an appropriate interest rate - that can be expected to occur during the remaining life of the businessโ - John Burr Williams, 1938
Dakshana is incredible
@MohnishPabrai
Having attended a high school in New Zealand with a similar scholarship model to Dakshana, which pulled young men from straightened circumstances, I completely get how life changing these places can be.
My friend Mohnish Pabrai just shared this letter he received from Warren Buffett.
I'm sharing it here with his permission.
Or you can download a copy here
@MohnishPabrai
@DakshanaIndia
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