Letter # 86

Many startups use Blitzscaling to quickly subdue competition before they even get a chance to catch up. It has been successfully used in several other areas (like wars, movie distribution, etc.), but is sadly finding increasing use now… in investments!

In today’s article in ET, we look at how Archegos learnt the ill-effects of blitzscaling the hard way, and the reasons why, what works for startups and movie distribution, does not work for investments (proprietary AND professional money management). Read here: portfolio valuation: Blitzscaling can take your portfolio valuation up quickly, but you can fall badly too – The Economic Times (indiatimes.com)

Disclaimers:
Information in this letter is not intended to be, nor should it be construed as investment, tax or legal advice, or an offer to sell, or a solicitation of any offer to make investments with Buoyant Capital. Prospective investors should rely solely on the Disclosure Document filed with SEBI. Any description involving investment examples, statistical analysis or investment strategies are provided for illustration purposes only – and will not apply in all situations and may be changed at the discretion of the principal officer. Certain information has been provided and/or based on third-party sources and although believed to be reliable, has not been independently verified; the investment managers make no express warranty as to its completeness or accuracy, nor can it accept responsibility for errors appearing herein.