mcsio

Notes on risk, rules, and running a concentrated portfolio without getting shaken out of it — or blowing it up by accident.

Writing

Seventy percent of my drawdown was money I deployed after the peak

A post-mortem of a 20.3% drawdown on a concentrated, unlevered semiconductor book, and the twelve-rule system rebuilt from it. No price-structure rule fires at an all-time high — which turns out to be the whole problem.

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Do you have written rules for when you sell — and did you write them before or after you needed them?