An interesting principle that I am intrigued about is the idea of stress Adjusted return and apply it to
I am beginning to believe equity investments is more about being part owner of the right set of companies that would grow and buy these ownership stakes at the right price, versus trying to buy shares that I or market expects to go up in the near term with latter being the game traders play.
In this regard, stress of owning a position in a company is a real thing and should it impact the following?
A) Kind of companies/investments that I am holding or am willing to buy
B) Position sizing and therefore position trimming
C) the above affected by Price vs valuation and overall market conditions.
Will revisit...
