Ann: SF Biotech Presentation, page-56

You got to have patience with early stage biotechs.

SP usually are unstable/unsteady with early stage biotechs.
That's why you have to do your DD. And this is where your DD comes in.

Do you believe this is a quality company?
Do you believe the management/scientists are quality people?
If so, then hold and wait for that major announcement.

I prefer taking my chances on early stage, than late stage biotechs. Success rate of Phase 1/2 trials (especially when you have quality people within the company) is much higher than Phase 3 trials. I usually try to make as much as possible between Phase 1 and Phase 2 trials of a companies life (profit taking on opportunistic announcements), and reduce my holding like someone who's had bariatric surgery when approaching Phase 3 trial completion.