Month: January 2019

David Webb

https://www.bloomberg.com/news/articles/2019-01-02/the-20-a-year-stock-picker-who-wishes-his-edge-would-disappear?srnd=premium-asia

http://webb-site.com/

David Webb quit his job at 33, got rich investing in Hong Kong。Now 53 and comfortably rich, he’s OK with giving away his research。his total wealth — have swelled to about $170 million from $30 million in 2003

Over the past 20 months, he has advised readers of his widely followed website to avoid more than 75 of the city’s publicly traded companies — several of which subsequently became targets of the largest-ever raid by Hong Kong’s securities regulator. Stocks on his “not to own’’ lists have lost $16 billion of their value since he warned against buying them.


Here’s how Webb describes the basics of his investment strategy:

  • Owns about 35 stocks at a time, with an average holding period of “five-plus’’ years
  • Long only, never short
  • Prefers large stakes in small companies and isn’t afraid to take an activist role: “If you are going to be a minority shareholder, it’s better to be a big one’’
  • Doesn’t use leverage
  • Looks for businesses that are well-governed and undervalued
  • Reads the regulatory filings –- almost all of them
  • Avoids large caps
  • Refuses to manage outside money: “It’s a lot of hassle’’