Like most people, I’m wrong from time to time. Unlike most people, I can’t avoid that fact, because I have something, two somethings, in fact, on the line: my money and my reputation. You see, anyone can pull up the written record of my having sold out of the market almost completely for about two months earlier this year. Of course, anyone who does will note that I clung stubbornly to one large position—my largest position, in fact—NVIDIA (NVDA). By itself, that one good decision washed out all the bad. Also, anyone keeping a close watch would see that I bought back in to the market once it became clear that for the time-being, at least, earnings were rising fast enough to justify prices.
The result is that in my combined accounts, I’m up about 22% for the year, or twice what the S&P 500 is up. If all my readers are not doing so well, I hold myself partly to blame for this reason: the stocks I hold in my own accounts are no longer the most easily justified on paper. Some of them have run so far, so fast, that it seems they must be due for a correction. So why do I hold them? Because frankly, I don’t give a damn. These are companies I believe in, so from my perspective, if the share price falls, it’s no big deal, because it will just bounce back. A good case in point, other than NVIDIA, is Mercadolibre (MELI), which I bought in July and held through a dizzying downturn in August.
I offer the stocks on today’s list because it’s only fair to do so. I own them, I believe in them, and despite being wrong from time to time, I somehow manage to crush market averages year after year. Remember to treat these ideas as just that, ideas, and do your own research before making any investment decision.