Motivation is perishable, act on it immediately. Love the stock markets. Quality compounders are the way, but a swiss army knife mindset is invaluable.
Not doubting the numbers, but this ignores a crucial fact that companies that make it to S&P 500 are some of the most dominant businesses, with expanding TAMs, already large or expanding moats and profits.
It's no wonder 90+% of investors fail to beat S&P 500.
Why I don’t invest in the S&P 500:
- only 25% of the index has a FCF/share growth greater than 15%
- only 26% of the index has a return on capital greater than 12%
- only 12% of the index has both of the above
- I don’t want to own banks, airlines, energy companies, mining companies, utilities, heavy industrials and biotechs
- I don’t want to own anything discretionary
- I don’t want to own alcohol, tobacco or gambling stocks
- I don’t want to own anything highly leveraged or highly cyclical
What would you add?
@StockOptimus Most of my best-ever entries meet A/B/C criteria
A) Moving averages stacked/tight
B) Price close to that moving average cluster
C) Some overhead longer term moving average (100/200SMA) or resistance zone overhead that has been tested once or more recently (thesis as a catalyst)