Conviction Wins: Why Great Investors Hold Through Volatility
If stock is going down, the avg joe starts to panic because they haven't built conviction for themselves...they're just listening to someone else.
Conviction is something you have to own yourself. Live & die by your own sword. That's the ONLY way to win.
If you get flustered on dips/drawdowns, 99% of the time it's because you:
- don't believe in the story (aka..outsourcing conviction)
- are oversized
- are playing w money you can't afford to lose
If you've ever been in/around biz...great businesses have a habit of rewarding patient owners.
Good company, good theme, good story?
1) purchase common stock
2) scale in
3) extend timeframes
4) have conviction to hold thru volatility
5) adjust if thesis or story changes...else, hold.
Simple, not easy.
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