On Markets & Investing

Spotting Value Traps Early (Part 2)

5 June 2022

Many investors rightly focus on their process rather than on the final outcome as they accept that the future is unpredictable. I am definitely one of those investors. I focus on what I can control: my research process, emotions, and decision-making system.

However, I noticed that such a mindset leaves me somewhat complacent about periodic blow-ups that usually happen every year with at least one stock in my portfolio.

Alibaba could be one such example (I bought it in October last year and it is down 45% since then).