Investment rules
−10–25% · add once
Price is 10–25% below your highest buy. You have not added in this zone yet. One add is permitted — use it if the thesis is intact.
−10–25% · add used
Price is 10–25% below your highest buy. You have already used your one permitted add in this zone. No further adds until price recovers above −10%.
−25%+ · no adds
Price is more than 25% below your highest buy. Adding is not allowed regardless of history. The position is in serious decline.
−20% for 1y · exit
Price has been more than 20% below your highest buy for over 12 months. The thesis has not recovered in a reasonable time. Exit the position.
* Reference price is the highest buy price across all purchases. Rules reset upward when a new highest buy is made.
How benchmarks are calculated
Each benchmark asks: what if every dollar I actually invested, on the exact date I invested it, had gone here instead? Every buy is an outflow, every sell an inflow — identical to how portfolio IRR is calculated.
ASX 200
Via STW — buys purchase STW units at that day's price; sells reduce units. STW distributions reinvested.
NASDAQ-100
Via QQQ — same, in USD, converted at the exchange rate on each date. QQQ distributions reinvested.
S&P 500
Via SPY — same as NASDAQ-100 via SPY.
RBA + 2%
Buys deposit into a savings account compounding at the RBA cash rate + 2%; sells withdraw. No units — just a running balance.