For the first time in life…
…being fully invested…
…seems a better idea.
Dangerous?
Sure.
Can halve in no time.
That’s something we carry with ourselves into the markets.
If we are afraid of something halving, we should look at other pastures.
Why aren’t we afraid of our investments halving fast?
Ever heard of upside?
Well, what is it?
The upside. How much?
Any limits?
In a growth market?
Potential future high-growth market?
Can’t give a number. Except that, over the long term, upside is perhaps nx, with n being a big number.
That’s enough reason to be fully invested.
Full benefit of upticks.
Big uptick days, perhaps 80% of them, are closely embedded with big downtick days.
Reason to stay invested all the time.
Expenses?
Sell the worst weed standing. Spend the proceeds on expenses. The biggest loser finances expenses.
Income?
Top up the winners.
Why?
Why not the losers?
This is a shift in Magic Bull thinking.
Winners have the longest runway before potentially becoming the worst weed standing.
In that long runway, they can double, treble, n-ble. Runway then becomes ultralong.
That’s why add to the winners.
Worst weed standing pivot philosophy allows winners much time to become even bigger winners, adding to the positive loop.
What about the negative loop?
Winner stops performing.
Down.
Down.
Down.
5 notches away from being the worst weed standing.
4 notches.
3.
Starts performing.
Up.
Up.
Up.
Above buying average.
Adding to.
2 bagger.
4 bagger.
Huge runway again.
10 bagger.
Adding to, runway is phenomenal.
100 bagger.
Kachinnnnng.
Some other winner stops winning.
Below buying average.
Down.
Down.
Down.
3 notches to worst weed standing (WWS).
2.
1.
WWS status.
Expense comes up.
Out.
That’s the exit route.
One route to expunge.
The entire philosophy pivots on WWS exit status – on the small trapdoor portal provided for cleaning up the portfolio.
Emotion?
No emotion.
With regard to exit, market dictates what to do.
We just elevated the status of the biggest loser to house-cleaner-in-chief.
That’s turning our biggest loser into a winning strategy pivot.
That’s like winning the hand in Texas Hold’em with a 2/7.
