Great set of posts @Just_a_guy and others. I find this sort of...

Great set of posts @Just_a_guy and others. I find this sort of discussion pertinent to myself.

A number of us use Intelligent Investor as a supplement to our own research and I would probably put their methodologies, along with that of @madamswer as two of the most important influences that have shaped my own investing.

Now I am letting my winners run. Poorer quality winners have previously been set off against losses, however, with the current bull market that option is no longer available. Also, although I have outperformed the market, I am not doing it by such a margin that I can afford to take a tax hit every couple of years and make up the difference with excess returns. Currently I have around 30 companies in our holding accounts. Well done on letting the 2% run to 25%! It shows a lot of discipline and I have been too fast to sell winners in the past. Often a quality growing company can keep growing earnings beyond what I imagine is possible – sadly the reverse is true as well! Unfortunately for PMP shareholders it has played out that way, there is probably still value here but it is opaque and too difficult for me to determine. PMP was a situation where on a risk reward basis it was probably worth a punt, just in this case it hasn't worked.

I suspect that the comment you posted was from Lyall Taylor (former Macquarie analyst). Lyall is a fantastic investor who does things in a really different way. Though what Lyall does probably wouldn’t work for most of us – or not as well. He is domiciled (and lives) in Singapore and pays very little capital gains tax. Lyall seems to move from undervalued market to undervalued market worldwide. He tends to go for the cheapest stocks in these markets and since there always seems to be a crisis somewhere at any point in time, he is able to fill his portfolio with very cheap stocks. This capital can be recycled into the next cheap option once the crisis subsides. Very clever and very effective, just hard to implement and does take continual work/research. As I work in a busy unrelated field my time is a little stretched – five children under 11 doesn’t help either!

Lastly, I should add that this little community on HC has been a great resource for me. When I first joined I had a look the popular posts and straightaway thought it wasn’t for me. Lithium miners, medicinal marihuana and non-revenue generating tech stocks seem to get hundreds of comments and many profit making ASX200 companies hardly get a post. Luckily this little group has been a wonderful find. Although small in number, I get the feeling that the amount of invested dollars is much greater than the average poster and hence the mentality around investing – rather than the gambling seen on many of the popular posts.

PS In hindsight seeing the little group are mostly REH holders, I was stupid not to buy in!