Investing 101: Don’t confuse slugging percentage with batting average.

The former is being the cool kid in high school - you’re a rare thing and everyone wants to know the secret.

The latter is like going to the prom with your mom. Everyone talks about it, but not kindly.

Investing is all about dollars in —> dollars out or the multiple of invested capital (MOIC).

How many good companies you’ve invested in interests no one who knows anything.

How much did you make? What was your entry point? Did you size up or did you shit your pants?

It’s easy to focus on batting average and miss the obvious:

“I didn’t buy $TSLA at $300 so I’ll pass at $1000.”

“$AMZN at $500? Crazy! See you at $200.”

All great investors have gotten one big thing right: they focus on slugging percentage.

They know when to capitulate, buy up, when to be “risk on” and ride the winners. They care more about owning a big piece of one winner vs irrelevant pieces in many winners.

Take the time to understand what you own. So deeply that you could be “all in” if necessary. It should never come to pass but if you have this level of conviction, you will size and add appropriately and let your slugging percentage do all the talking.

For example, I’ve made some great bets before but nothing compares to my bitcoin bet in 2012 and sizing up...

SLUGGING PERCENTAGE!!!!

PS, HODL.