I will be sharing my investment style and portfolio on this thread. I would appreciate reviews / feedback from esteemed valuepickrs.
I started trading, speculating, investing 12 years ago without any process in place. I was lucky to sail through that phase without paying much tuition fees. I was introduced to value investing and valuepickr approx 5 years ago and since then I have adopted a more disciplined approach.
I am from non finance background so do not get into complex valuation models.
Good temperament and patience to do nothing for a long time.
What is a Grizzly bear portfolio?
Grizzly bear goes into hibernation (deep sleep) to escape winters and food scarcity. I am following a similar approach - When there is too much enthusiasm in markets and risk/ reward is not in favor, move to debt instruments and be content with 7-9% pre tax returns. Come out of this hibernation mode once there is enough pessimism around and almost everything is available at a good valuation similar to 2009 or 2013 period. Nifty PE will be one of the major indicators for my re-entry decision.
No of stocks - 12-15
Max 10% in a stock
Max 30% in a sector
Max 20% of portfolio in small caps
Sectors that I currently avoid - capital goods, insurance, shipping, defence, infra.
Stocks I avoid
- high debt
- stocks or sectors with govt interference / price control