Incremental Insights #14
September the Cruelest Month
Due to historically lower returns, September is often called the cruelest month for stocks. Reasons include post-vacation selling, tuition funding, and self-fulfilling expectations. However, it's not guaranteed – the S&P 500 has had positive returns in 52% of Septembers since 1928.
The Myth of Capitalism
The dark side of market consolidation in the US
Reduced competition leads to oligopolies with unchecked power
Market dominance allows companies to mistreat customers (remember Dr. Dao?)
Less competition may stifle innovation and economic growth
Oligopolies squeeze both customers AND suppliers (including workers)
Alphabet has never been this much cheaper than the S&P 500
Nick & Zak's Excellent Adventure: How Nick Sleep and Qais Zaharia Built Their Investment Partnership
The investment strategy that led Nomad Investment Partnership to 10x their money in 14 years:
Deep research and long-term thinking
Concentrated portfolios (sometimes 70% in a single stock!)
"Intentional disconnection" from ephemeral information
Focus on insights with long shelf life
Nick Sleep and Qais Zakaria's success came from independence, clarity of thought, and high conviction in well researched stocks.