Complexity Investing & Semiconductors (with NZS Capital)

This podcast covers resilience and optionality in investment philosophy, ways to manage optionality and resilience in portfolios, strategies used by investors to increase resilience and optionality in portfolios, investment strategies for investing in semiconductors, and discussions on the semiconductor industry and TSMC's role in it. It also delves into the intricacies of semiconductor manufacturing, the idea of "leaving money on the table" in business, and the importance of unstructured research time for investment professionals. Takeaways • Resilience refers to a company's ability to withstand economic downturns and continue long-term growth. • Optionality involves making a high number of small bets on companies with potential high returns. • Innovating around a durable core business with optionality on top can create a successful investment thesis. • Valuations, interest rates, and resilience are key factors in investing in the current climate. • Collaboration and ecosystem health are essential for driving progress in semiconductor technology. • Negative feedback loops are crucial for sustainable growth and preventing asset bubbles. • Unstructured research time allows investment professionals to wander into novel concepts and generate valuable insights.