Pomp writes a daily letter to over 50,000 investors about business, technology, and finance. He breaks down complex topics into easy to understand language, while sharing opinions on various aspects of each industry. You can subscribe at www.pompletter.com :)
This is my favourite guest until now and it's hard to pick one. This guy speaks my language or I'm speaking his language when it comes to investing and life in general, WOW.😳 Amazing, thank you.🙏🏻
Summary and Notes It's better to invest in illiquid microcaps rather than liquid microcaps. Because when the market goes bad, the first thing people do is sell these microcaps and they are hammered down. Whereas investors of illiquid microcaps are deep value investors. How to find microcap ideas ? Brute force search is difficult. I get to know some good names through my personal network. Sometimes it serendipity. There are many fraudulent companies here in this space size. Stay away from companies that don't report anything. Stick to companies that are actually showing profit. Is microcap investing like VC investing ? People glorify Private Equity, VC investing and beat down the investing in Microcap Companies. Warren Buffet, Peter Lynch etc all made it big via Microcap Investing. All big companies like coke etc were microcap once. How much % allocation in Microcaps? I started with 90% in microcaps but I was full time managing my portfolio. But I suggest you to stick to 3 -5%. 10-13 stocks seems pretty diversified to me. I keep averaging up to the companies that are really doing well. Concentration builds wealth and diversification protects it. "I am trying to find companies that are at inflection point of their profitability" If I can find one or two companies a year, that suffice. A lot of my time is spent talking to CEOs. Story: After making good bucks in an investment, I was in good mood. I invested in a company which had amazing fundamentals. I didn't understand what they do but fundamentals were growing in right direction. It turned out to be a fraud company. Auditers found out that they do not have cash that they claimed they have. One morning stocks went to half, I sold all the stocks and in 2 months it went down to zero. It was my biggest failure. Lesson: Don't invest in companies that you understand and the products that you believe in. You cant really wait for perfect conditions. Sometimes you need to have courage in investing in not so perfect conditions. When to sell ? - When there is a change in the enthusiasm and the tone which the CEO speaks gives you a lot of soft queues. - Usually, when you start rationalizing holding a position is when you should sell it.
Pomp, you're the Joe Rogan of the Financial/Crypto podcast world. I listen to yours more than I listen to his, lol. Def learned a lot from this one, bang bang.
100 appreciate this. Thanks Pomp and Ian Cassel. Knowledge is power and knowing that there is options and different ways to improve, always gives more hope.
Great show, the best conversation I've ever heard on investing fundamentals true to life. I thank you for you both for your time. Look forward to the next 1😁👍 Irish investor🤑
Pomp writes a daily letter to over 50,000 investors about business, technology, and finance. He breaks down complex topics into easy to understand language, while sharing opinions on various aspects of each industry. You can subscribe at www.pompletter.com :)
This is my favourite guest until now and it's hard to pick one. This guy speaks my language or I'm speaking his language when it comes to investing and life in general, WOW.😳 Amazing, thank you.🙏🏻
I love down-to-earth, humble financial people like Ian Cassel.
takes low key to a whole new level!
Summary and Notes
It's better to invest in illiquid microcaps rather than liquid microcaps. Because when the market goes bad, the first thing people do is sell these microcaps and they are hammered down. Whereas investors of illiquid microcaps are deep value investors.
How to find microcap ideas ?
Brute force search is difficult. I get to know some good names through my personal network. Sometimes it serendipity.
There are many fraudulent companies here in this space size.
Stay away from companies that don't report anything. Stick to companies that are actually showing profit.
Is microcap investing like VC investing ?
People glorify Private Equity, VC investing and beat down the investing in Microcap Companies.
Warren Buffet, Peter Lynch etc all made it big via Microcap Investing. All big companies like coke etc were microcap once.
How much % allocation in Microcaps?
I started with 90% in microcaps but I was full time managing my portfolio. But I suggest you to stick to 3 -5%.
10-13 stocks seems pretty diversified to me.
I keep averaging up to the companies that are really doing well.
Concentration builds wealth and diversification protects it.
"I am trying to find companies that are at inflection point of their profitability"
If I can find one or two companies a year, that suffice.
A lot of my time is spent talking to CEOs.
Story:
After making good bucks in an investment, I was in good mood. I invested in a company which had amazing fundamentals. I didn't understand what they do but fundamentals were growing in right direction. It turned out to be a fraud company. Auditers found out that they do not have cash that they claimed they have. One morning stocks went to half, I sold all the stocks and in 2 months it went down to zero. It was my biggest failure.
Lesson: Don't invest in companies that you understand and the products that you believe in.
You cant really wait for perfect conditions. Sometimes you need to have courage in investing in not so perfect conditions.
When to sell ?
- When there is a change in the enthusiasm and the tone which the CEO speaks gives you a lot of soft queues.
- Usually, when you start rationalizing holding a position is when you should sell it.
Pomp, you're the Joe Rogan of the Financial/Crypto podcast world.
I listen to yours more than I listen to his, lol. Def learned a lot from this one, bang bang.
100 appreciate this. Thanks Pomp and Ian Cassel. Knowledge is power and knowing that there is options and different ways to improve, always gives more hope.
Great show, the best conversation I've ever heard on investing fundamentals true to life. I thank you for you both for your time. Look forward to the next 1😁👍 Irish investor🤑
Love this guy. A man of faith
Ian Cassel dropping knowledge bombs💣
Amazing Amazing Amazing got the 3rd book, can’t wait to read it 🤝
i order it too after listening here
These are amazing podcasts. Thank you for this information.
Amazing MicroCap investing class!!! thanks for sharing
Great interview 👍. Serious nuggets gleaned. (Don't wait for the perfect company before investing. )
What platform would you recommend for trading microcap stocks? Robinhood, etrade, cashapp etc.?
Unironically, uniswap. Forget about stonks right now
A diversified portfolio for me is, BTC on Coinbase, BTC on ledger, WBTC on metamask and QBTC on the tsx. Is that well diversified? 🤟
More folks need to like this service Anthony and Ian......will take a look into MicroCap Club and Seeking Alpha....thanks again gents!
This one looks interesting definitely want to learn the technique because they definitely make money but it’s all about timing
Wow you killed it at the end
The company that I see to succeed in crypto is a micro cap 😁
Someone buy him a normal cap headphone
AKRO is a microcap ready for launch
Tell me your thoughts why?
I researched. Very Awesome. I researched it. It's keeping up with ETH which is not easy to do. I bought in.
It was luck like he said 🤦♂️
Mirco Cap - VYGVF - Check it out and thank me later ;)
***EWT ENERGY WEB TOKEN OWNED BY WARREN BUFFET *** REF:CHICO CRYPTO
Lol imagine Warren buffet owning crypto
Lake Cresva National Park he owns the companies that have created the crypto
the bible rolmao