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Lessons in Life and Finance - a New Direction for the Blog
4 minute read
I’ve spent a lot of time thinking about how to improve my investment approach and the role this blog plays in my journey. As I prepare to take on the challenges of the finance sector professionally, I see this blog as a way to refine my evaluation process, connect with like-minded individuals and hopefully keep getting better, step by step.
This summer gave me the chance to step back and reflect. I rediscovered some fundamental principles that I had recently overlooked. These are simple yet powerful lessons that will guide how I think and act, not only as an investor, but hopefully in everyday life.
1. Question everything, even the obvious
At the end of July, I came across news of an alleged bid by Apex Capital to acquire Paramount. Now, this wasn't from some sketchy blog; it was reported by top-tier sources like Bloomberg, Reuters, you name it. But as I analysed the opportunity, I thought, "Who is Apex Capital, really?" So I dipped my toe in. Surprise! It turned out to be a hoax. The takeaway? Never take anything at face value, no matter how trustworthy the source. If it doesn't feel right, it probably isn't (or you just need more coffee).
2. Plan for the worst, hope for the best
A reader of the blog wrote to me to ask if it makes sense to bet everything on special situations. SSI can offer incredible opportunities, but without solid risk management, they can easily backfire. You need a clear plan for how much capital to allocate and under what conditions to exit the investment, no guesswork allowed. Every decision should be calculated and fit into a long-term strategy. These opportunities shouldn't become a gamble; they should be approached with a solid framework. In short: measure twice, invest once.
3. Be fast but thorough
Timing is everything in investing, especially in special situations. But that doesn't mean rushing in blindly. Speed must be coupled with a thorough analysis of the available data. Balancing the need to act quickly with a full understanding of the variables involved can help avoid easily avoidable mistakes. Move fast but don't trip over your own feet.
4. Never stop learning
The world is constantly changing and staying competitive means adopting a mindset of continuous learning. Every new situation, good or bad, is an opportunity to expand your knowledge and improve your analytical skills. No matter how much you think you know, there’s always room to grow. You don’t want to be the person still stuck on last year’s trends, right?
5. Collaboration is key
Over the past months, I’ve connected with some brilliant minds, guess what? They taught me a thing or two. Sharing ideas and getting feedback isn’t just useful… it’s critical. By exchanging advices and discussing strategies with others, you gain new insights that you might otherwise miss. After all, even the best of us can benefit from a second set of eyes (and maybe a third). No spoilers, but be prepared to read joint articles (of various topics, even outside my comfort zone).
6. Patience pays off
A solid analysis doesn’t always lead to immediate results. Special situations, in particular, take time to unfold and patience is a crucial virtue. Being impatient or trying to force the market to move can lead to rushed decisions. When the fundamentals are strong, waiting is often the smartest thing you can do. Sometimes, the best move is to sit back, relax and let time do the heavy lifting.
7. Enjoy the ride and appreciate the little things
This summer has been particularly challenging for me on a personal level, giving me the opportunity to step back and reconsider what really matters. As much as I love to engage in financial analysis, I realised that sometimes the most valuable "investment" you can make is in the people around you. I made a conscious decision to put my family first and this shift in focus reminded me that life is about balance.
In investing, and in life, it's easy to get caught up in chasing the next big win, but it's equally important to appreciate the little things along the way. Whether it's a successful trade or a quiet evening with loved ones, it's these moments that make the journey worthwhile. So yes, work hard, invest wisely, but don't forget to look up and enjoy the ride. After all, what's the point of building up a portfolio if you don't take the time to live it?
The New Direction of the Blog
Along with these lessons, I’ve decided to tweak the approach of the blog. I plan to publish more frequently, alternating between case-specific analyses and reflections on new methodologies and practical takeaways. Deep dives are great for learning, but if I get too long-winded, I risk putting my readers to sleep (and no one should fall asleep while reading about finance... right?). Moving forward, I’ll strike a balance between detailed articles and more concise content that keeps engaged without sacrificing value.
I’m also working on a brand-new portfolio from scratch, which you might have noticed in the blog’s navigation (if not, take a look and don’t miss out!). The portfolio will evolve over time and I’ll regularly update you on its performance. Some positions may not have been covered in previous deep dives because, frankly, writing about every single one would be a full-time job. Instead, I’ll use the portfolio as a foundation for future analysis, focusing on continuous learning and improvement… because, let’s face it, that’s what this whole thing is about.
Thank you for being part of Strategic Alpha.
Attilio
Good job