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’’
On the basis of these numbers, they assume they know everything about him.
When I try to describe him here it’s only in order to make sure I will remember him. It’s sad to forget a friend. Not everyone has a friend. If I forget him I will be like adults who are only interested in numbers…
I should have judged actions, not words. It attracted me with its fragrance and gorgeousness. I should have never run away from it. I should have seen the love that was hiding under its tiny unhappy tricks and games. Flowers are so contradictory! But I was too young to know how I should love her…”
But if you tame me, we will need each other. In a whole world, you will be unique to me. And I will be unique to you.”
“People don’t have time for learning any more. They buy ready-made things in shops. But there are no shops that sell friends, so people don’t have friends. If you want a friend, tame me…”
Words are the source of misunderstanding.
It is very simple: you may see the truth only with your heart. Everything that is important can’t be seen.”
“You shouldn’t forget. We are always responsible for those who we tamed.
“They didn’t like the place they visited, did they?” asked the Little Prince. “Nobody is ever satisfied with the place where he stays”, said the railway pointsman.
Only children are looking out of the windows”. “Only children know what they are looking for”, said the Little Prince.
We risk crying when we allow ourselves to be tamed…
“When you stop mourning (time cures all the troubles), you will be happy that you knew me.