Daniell Wright @Twistery: "𝗗𝗲𝗮𝗿 𝗙𝗼𝗹𝗹𝗼𝘄𝗲𝗿𝘀 𝗮𝗻𝗱 𝗖𝗼𝗽𝗶𝗲𝗿𝘀, I hope..."

South Africa

𝗗𝗲𝗮𝗿 𝗙𝗼𝗹𝗹𝗼𝘄𝗲𝗿𝘀 𝗮𝗻𝗱 𝗖𝗼𝗽𝗶𝗲𝗿𝘀, I hope you are still doing well. The markets dropped sharply on Friday afternoon, which also affected our portfolio. I know that creates anxiety, but I want to reassure you that the portfolio is positioned for resilience. I’ve attached a snapshot of every holding, colour‑coded by risk relative to the fair values of the underlying companies. Companies trading significantly above their intrinsic value carry higher drawdown risk than companies trading at or below their intrinsic value. The structural breakdown reveals a very defensive posture: • Most equity positions are classified as low risk. • A massive portion of our capital is held entirely risk free ($VGSH (Vanguard Short-Term Treasury Index Fund)). • A few positions present moderate risk. • Only three small positions sit in the high risk category. • There are zero extreme risk positions. Importantly, we hold a large allocation to $VGSH as our cash buffer. That allocation increases in relative size as equities fall, which reduces portfolio drawdowns and gives us dry powder to add to high‑conviction names at better prices. I do not plan on redeploying this cash buffer during normal market pullbacks and volatility, but rather when there is a clear upside compared to intrinsic value. For now, we simply sit tight and let the portfolio structure do its job. All the best, Daniell Follow and copy if you value a value driven investment process and long-term compounding. Portfolio is DCF‑driven, margin‑of‑safety focused, and risk‑controlled. 𝗖𝗜𝗦𝗜 𝗟𝗲𝘃𝗲𝗹 𝟯 | 𝗣𝗼𝗽𝘂𝗹𝗮𝗿 𝗜𝗻𝘃𝗲𝘀𝘁𝗼𝗿 | 𝗧𝗼𝗽 𝟭𝟬 𝗠𝗼𝘀𝘁 𝗖𝗼𝗽𝗶𝗲𝗱 𝗶𝗻 𝗦𝗼𝘂𝘁𝗵 𝗔𝗳𝗿𝗶𝗰𝗮 | $𝟮𝟬𝟬 𝗠𝗶𝗻 𝗖𝗼𝗽𝘆 𝗖𝗼𝗽𝘆 𝘁𝗿𝗮𝗱𝗶𝗻𝗴 𝗶𝘀 𝗻𝗼𝘁 𝗶𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗮𝗱𝘃𝗶𝗰𝗲 | 𝗣𝗮𝘀𝘁 𝗽𝗲𝗿𝗳𝗼𝗿𝗺𝗮𝗻𝗰𝗲 𝗱𝗼𝗲𝘀 𝗻𝗼𝘁 𝗴𝘂𝗮𝗿𝗮𝗻𝘁𝗲𝗲 𝗳𝘂𝘁𝘂𝗿𝗲 𝗿𝗲𝘀𝘂𝗹𝘁𝘀 $SPX500 $VOO (Vanguard S&P 500 ETF)

Not investment advice. The author may have financial interests in the mentioned instruments.

3 Mentioned

VGSH

Vanguard Short-Term Treasury Index Fund

SPX500

SPX500 Index (Non Expiry)

VOO

Vanguard S&P 500 ETF

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