Be off the radar.

Find micro caps.

Turn more stones than others.

You need an edge to make supernormal returns in the markets. You generally cannot exploit a) information asymmetry but b) processing/analytical or c) behavioural with mid or large caps. The last i.e. c) being the most sustainable edge with longest durability. Eventually the game runs out with information asymmetry.

So, my goal has always been to exploit a) as much as possible. In fact I went to far off places to seek alpha with a) including Middle east, Fiji, Kenya, Nigeria, Nepal, ended up investing in a couple of these markets. It continues to work.

With lots of connecting dots over time and experience one can exploit b) intuitively like pattern matching. But c) can take you to play the game in billions not just millions. Which is when others are losing their head you keep yours.

Source: https://lifeandequities.wordpress.com/2017/02/02/go-micro/

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