Website: https://webb-site.com/
Twitter (unofficial; tracks updates): https://twitter.com/webbhk?lang=en
Article: https://www.afr.com/world/asia/the-20-pe...103-h19nfo
As corporate governance on SGX comes under scrutiny recently; perhaps a good time to share this old (2019) article. If only we have a David Webb in Singapore to help us weed out the companies to avoid!
Twitter (unofficial; tracks updates): https://twitter.com/webbhk?lang=en
Article: https://www.afr.com/world/asia/the-20-pe...103-h19nfo
Quote:The 20 per cent-a-year stock picker who wishes his edge would disappear
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How he does it
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."
* His reports on companies to avoid are a byproduct of his stock-picking process.
"I am looking for good companies, but when you do that, you find an awful lot of rubbish," he says. "Things like the Enigma Network pop out."
As corporate governance on SGX comes under scrutiny recently; perhaps a good time to share this old (2019) article. If only we have a David Webb in Singapore to help us weed out the companies to avoid!
“If you buy a business just because it’s undervalued, then you have to worry about selling it when it reaches its intrinsic value. That’s hard. But if you can buy a few great companies, then you can sit on your ass. That’s a good thing.” - Charlie Munger