Cod Liver Oil

I don't think the issue of size can be overstated. Some of my greatest mistakes have been cutting huge positions because they became too conventionally large. Size may be the only real investing question. I had zero in Amazon when it went from 10 to 150. But I have also sold 10-baggers and paid taxes before they went on to sextuple from there. How do you guys think about portfolio construction and sizing? We need to embrace the fact that our ability to see the future of a company is excruciatingly limited. I am way too enthusiastic about Nintendo and MSGE so I need some guard rails and head gear.

I sold atm December MSGE puts. I bought:

A massive brown bear stood outside my window yesterday displaying his furry junk. Then he climbed a 50 foot oak and ate the acorns at the top. I may be confusing the message but I took that as a sign to buy more hard assets: PCYO and Itafos today.

I get the attraction of having permanent capital and not having to become a fee based AUM hunter/gatherer type. I guess that's what all the Buffett clone re-insurers are about. I have always owned the same stuff as my LPs but have owned it in larger proportion to net worth and in more concentrated form than people would normally be comfortable with. We are also beginning to start and own small operating businesses. Let's see how that goes! Why even do it when you can own parts of scaled world class businesses by pushing a button? A lot of people on here are discussing investing as a part of their larger life endeavors. I think that helps keep things in perspective. As Greg implies, it's diminishing returns when you need to play therapist while holding your nerve in a bear market draw down.

For those of you that manage other peoples money, how do you approach that differently than managing your own personal account? The psychological and economic dynamics may be very different. How do the outcomes compare?

Maybe currency is the tail on the dog. Nintendo's costs are in yen but their sales are largely international so the weak yen may benefit them. It is a lumpy but great business imo. They have high quality under monetized IP. I keep buying that. Sony may be in a similar position but is more spread out with a solid but less fanatical fan base. If anyone has any thoughts on Nintendo or Sony, please speak up.

The USD is at 20 year highs versus the euro, yen and GBP. This seems significant. What does this mean and what opportunities does it create for USD based investors?

Bought back some UMG.

My simple heuristic has been to buy world class assets which are currently at COVID lows while business is improving: PCYO, DIS, MSGE and Nintendo (slightly above Covid lows). The world is a mess but these companies can do well.

Buying Disney and MSGE with a little throw up in the back of my mouth.

Will be adding to DIS and NTDOY today thinking the best IP in the world has inflation + characteristics.

I have been adding to Nintendo also. Pretty diverse currency stream. Bullet proof balance sheet. Things in Japan move slowly but in general are becoming more shareholder friendly. Its a bank with a good business attached to it with some options on world class IP. Maybe only Disney has better IP. Would love to hear people's thoughts on top five global IP companies. Sony is cheap too.

Adds to PCYO and NTDOY.

I am starting a 500bp allocation to forced liquidations. Bought a little NTP and CPNG.

The culture at Nintendo is fascinating also. Its embrace of "withered technology" is counter cultural to the gaming industry but deeply Japanese and imo brilliant: https://en.wikipedia.org/wiki/Gunpei_Yokoi