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Deep value investing, to me, is not about big discounts. It’s about finally seeing something profound and deep underneath the surface, when others are still only seeing the tip of the iceberg, and still making judgements.
Ho Nam
13.4K posts
Ho Nam
@honam
Co-founder and Managing Director of Altos Ventures
- For Buffett skeptics let’s clarify some things. He has given away $100B of his stock so far. Also decided to let others ride along for free (no fee, no carry). Took $100k salary for 50+ years with zero bonus and no stock options. Lowest paid CEO ever that created $650B+ of value.
- Didn't know this but apparently this was an internal saying at Amazon. “Trust is earned in drops and lost in buckets."
- Replying to @Molson_HartWait until there’s another kid, private schools, and a small house in the Hamptons (to get out of that tiny 3 BR apt once in a while). He will feel like part of the working class struggling to make ends meet (on $2M/yr). I’ve known people with such problems. Absurd but true.
- 5 levels of "startup" success 1. Unicorn valuation (often a mirage) 2. $1B revenue 3. $1B profits 4. $1B founder equity (must be cap efficient) 5. $1B given away by founder
- I’ve never had a position but anyone thinking about $TSLA should visit the SF Bay Area. Sometimes feels as if every other car is a Tesla. If they achieve such market share worldwide, it may indeed become the largest company in the world (by revenue, profits, market cap, etc).
- Advice to young VCs. If you manage to survive, this downturn is like a gift. VC industry hasn’t seen a big downturn in 13+ yrs and GFC was nothing like the meltdown of the dotcom bubble. Such oppts don’t come around often. This period may shape you for the rest of your career.
- First time Tesla owner. What an interesting delivery experience. They just left the car in my driveway. I opened it with iPhone app and started driving. Still need to go through video tutorials. Send me good tips or links to useful how to videos. Thanks.
- “I always found it amusing that most investors asks for 3+ years of projections when I couldn't even predict the next 6 months. But we would never admit the difficulty of projecting.” - CFO of one of our best companies (and one of the best CFOs we’ve ever worked with)
- VCs today do not remember Arthur Rock. He was almost worshiped by the early partners of Kleiner Perkins and Sequoia. It’s important to have the right role models.
- "If you want above average results, you have to say no to average opportunities. If you spend all of your time chasing average opportunities, you'll have no time for great ones. This applies to people, books, problems, etc. Raise the bar." — @shaneparrish
- When Coupang raised the 1st $1Bin 2015, I remember that the entire US VC industry invested $1B in 1991, the year after I started. Starbucks did IPO in ‘91. We made $25M on $1.7M investment. 15x was a home run back then. VC is now is so so different!
- Nice article about our friends at DCM. 30x fund is nice but $10B+ in profit is even nicer. VC firm DCM quietly blows out its top tier competitors. Its secret: Not drinking the Silicon Valley 'Kool-Aid.'
- Observation - if you extend your time horizon you will tap into what might appear to be wisdom. But it’s not. It’s just common sense. Think longer term, think through consequences and just do the basics. So simple. You will become smarter without having to change your IQ.
