Even the best make mistakes- for those of you who have been following our Investment Club, you might have noticed that 2 winners out of our past 3 stock battles, Under Armour and Amazon, have faltered in recent months. What do these losses mean for our portfolio and future decisions? (First off, don’t worry. We will still be providing pizza at our meetings rain or shine).
Second, as a club that is driven by long term success and the primary goal to educate our members, sometimes we will take risks that don’t pay off in the short term. As discussed in our last meeting, our mistakes are opportunities to analyze our rationales and apply new perspectives to future decisions. As an example, when looking to purchase Under Armour we determined only Nike to be an alternative company, overlooking the similar sportswear giant Adidas who rose to success in 2016.
Third, although we embrace mistakes as learning opportunities, we still consider whether it’s worth holding a position or not. Given our long term perspective, we have to decide if our current portfolio will benefit the Lafayette Investment Club and all of its members decades from now.
Being wrong is never easy. But at the Lafayette Investment Club we take pride in our ability to bounce back! See more at our first presentation of the year under Meeting Updates.