Capital deployment and time management

What to expect from investing in only five companies?

• When we are wrong, it can be 80% loss; when we are right, 500% and more is possible. We will be more wrong than right but it works.

• Cash position according to the VIX index. When it is low (below 20), only 50% of capital is deployed, and when it is high (above 40),  up to 80% is deployed. 

• Maintaining a high cash position means we apply a barbell strategy. It protects us from recurring "wrongs" and keeps us anti-fragile and ready for tale events.

• Managing positions according to three years time cohorts.

• Portfolio Diversification- industry, market, business model, size.