Today, I wanted to mention the other side of BTFD which I call STFR. It’s a term that may never ‘meme’.
I have been known to sell early.
I have learned to do it better over the years, but I am still very consistent.
Fred Wilson wrote about it today on his blog as it relates to venture investing. He calls it ‘taking money off the table‘. He and I chat about it all the time when we meet.
I have ZERO control over most of the public/liquid investments I make. I am not on any public boards.
I had NO idea that the boom the market boom and crypto boom that really took off the last couple of years would take leading stocks so far and so fast. I have a plan that I follow that sells stocks on the way up.
Here is a chart of my 8-80 stocks (daily rebalanced, equally weighted) for the last couple years:
(Thanks JC for building this for me and YES I do plan to launch a very low fee ETF of this in different weigting variations when time permits).
Rarely do stocks trend this smoothly. I can guarantee that chasing stocks at today’s prices will leave most with 20-25 percent drawdowns at some point soon. By selling pieces along this amazing trend, I am now in a position to continue riding my 8-80 stocks and even adding some into 10-20 percent corrections which for this list I prefer to do. Here is the list again:
PS – Speaking of STFR, a great read on all things crypto is Ryan Selkis.
I think about all the rips I have sold in Bitcoin and Ethereum, now EOS and ZCash and it blows my mind how wrong I have been but how right the odds say I should be at some point.
Today he tweeted this:
Bitcoin became a $250bn asset with no qualified custodians, no deposit insurance, no ETFs, and no derivatives market. It’s been strangled in a larger economies (e.g. China.), and widely derided by economists.
If this *isn’t* a bubble, what happens when those issues get solved?
This post he has titled ‘95 Crypto These for 2018‘. Take the time and read it this week. So many gems and links to keep you learning.
Have a great week everyone. I am stuck in frigid NYC working.
Also published on Medium.