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Saved by @Mollyycolllinss

Some interesting snippets from @MotilalOswalLtd 25th Wealth Creation Study:

(A Short thread)

1. Consumer/Retail is the biggest wealth-creating sector over 25 years.

 2. Almost 60 of the top 100 market cap companies in 1995 did not make it to the Wealth Creators list.
3.Corporate profit to GDP at all-time lows + Market cap to GDP close to an all-time high.
4. Permanent change in the long term interest rate band is leading to a change in valuation expectations.
5. Twenty-five stocks for the next twenty-five years. Read the Disclaimer.
6. The Q (Quality), G (Growth), L (Longevity), P (Price) checklist.
7.Sector structure score based on Porter's Five forces.
8. Current midcap stocks that demonstrate market leadership.
Other key takeaways:

1. Forget markets, Think stocks.

2. Too much money chasing too few stocks.

3. Speed thrills, but at times kills, drive with caution.

4. Quality biz + Steady earnings growth + Reasonable valuation = Consistent Wealth Creation.
5. Earnings growth = Price returns.

6. Financials can't remain behind for long.

7. Privatisation is the solution.

8. Mid to mega is a potent investment strategy.

9. PEG < 1x is a solid formula for superior returns.

10. PE < 10x almost invariably outperforms.
Finally, Economic stimulus and the COVID vaccine should turn the tide.

Thank you for reading.

The End.

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SARAH MOJARAD DOXXED ME.
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1/
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1/ Thread: $GOOG 4Q'20 Update

For the first time, GOOG segmented its cloud revenues/income separately, and overall revenue was >20% in 4Q which led to +7% after-hours reaction yesterday.

Here are my notes from earnings/press release.

2/ In the last quarter, here is the segment-wise growth:

Search +17.4%
YouTube ads +46.0%
Google Network Members +22.9%
Cloud +46.6%

Cloud more than doubled in the last two years.
Other bets losses $4.5 Bn in 2020 (vs $4.8 Bn in 2019)


3/ Operating margin in Q4 ~28%
FCF margin in Q4 ~30%

One of the big takeaways was the core business was even MORE profitable than most investors thought since cloud had -42.9% operating margin.

$GOOG's search business is a good comp for Fed in terms of "printing" money. JK.

4/ "you can track takeout and delivery orders when you book or order from Google Maps"

"More than 0.5 million channels livestreamed on YouTube for the first time in 2020"

"videos in our new Shorts player are receiving 3.5 billion daily views."

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I'm lucky to attain financial freedom before 30.

I credit Fintwit for my learnings.

Here's 10 key concepts every investor must know:

1. $$ needed to retire
2. Researching a business
3. Reading annual reports
4. Reading earnings calls
5. Criteria of a multi bagger

(Read on...)

6. Holding a multi bagger
7. Economic moats
8. When to buy a stock
9. Earnings vs cashflow
10. Traits of quality companies

Here's my 10 favourite threads on these concepts:

1. How much $$ do you need to retire

Before you start, you must know the end game.

To meet your retirement goals...

How much $$ do you need in your portfolio?

10-K Diver does a good job explaining what's a safe withdrawl rate.

Hint: It's NOT


2. Research a business

Your investment returns are a lagging indicator.

Instead, your research skills are the leading predictor of your results.

Conclusion?

To be a good investor, you must be a great business researcher.

Start with


3. Reading annual reports

This is the bread and butter of a good business analyst.

You cannot just listen to opinions from others.

You must learn to deep dive a business and make your own judgments.

Start with the 10k.

Ming Zhao explains it
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1/ If, after reading https://t.co/IzzATArtZl you are still confused how Alpha Homora and IronBank were hacked, here's how the hack was conceived

2/ Normally when you borrow funds from AH bank, your debtShare and totalDebt increases. Specifically if you want to borrow x tokens, your debt share will be calculated as:

share = x * totalShare / totalDebt

and it is added to totalShare

3/ All these numbers are very big integers (as token precisions are 18 digits) and the calculation is correct, but when totalShare = 1 (think 1 wei) and x < totalDebt, new debt share will be 0 (integer division)

4/ So if you manage to have AH bank with totalShare = 1, and some totalDebt you can repeatedly borrow less than the totalDebt (ideally totalDebt - 1) effectively doubling totalDebt in each iteration. You can do it as many times as you want, while totalShare will remain 1

5/ Eventually Iron Bank that supplies funds to AH will run out of funds, so when amounts get big enough (you are doubling each time), also make sure to replenish it with flash loan
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10 Key Takeaways from the book: The Emotionally Intelligent Investor


1. Investing success does NOT come from ignoring or suppressing emotion. Assuming that you have relevant expertise, disregarding intuition and empathetic feelings because they cannot be explained, is a mistake!

2. Self-awareness is the first and most important step in improving as an investor. An investment approach needs to fit with your unique set of motivations, personality traits, weaknesses, and strengths. Don’t try to be exactly like Warren Buffett if you are not like him!

3. Humans have certain common investing vulnerabilities, but everybody is unique in their susceptibility to them. Consider your weaknesses to be the investing biases and traps to which you are most prone.

4. Because we are constantly changing, introspection should be incorporated into the daily and weekly routines of any investor. Try writing in a trading/Investing journal.
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#3/thread on Angkor wat

Christianity and islam may be the largest religion of today’s world but Sanatan dharm has the largest religious monument in the world in the form of Angkor wat. It is situated in combodia and spread across over 400 acres / 1.6 km².


It was listed as a UNESCO World Heritage Site in 1992, which encouraged an international effort to save the complex.
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Angkor Wat was initially designed and constructed in the first half of the 12th century, during the reign of Suryavarman II, as the king’s state temple and capital city. It was built without the aid of any machinery, as there was no machinery available at that time.


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• Event days
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