Risk and Rare Events

Risk does not necessarily mean it will happen.  It means it has the probability to happen as a range of outcomes.  Because among those outcomes only one will materialize, people often forget and/or underestimate what might happen. We separate risk from uncertainty.  Uncertainty is measured by variance or standard deviation. …

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What is the most important thing to an investor?

In life, sometimes we go through a series of periods between lack information and too much information, thus our perspective and thinking are not correctly formed and clear to answer important questions.  When I started to work at Vietnam Investments Group (VIG), when joining any deals, we research everything possible about …

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Entrepreneurs’ Risks

How much risk do start-up entrepreneurs take when they start? Take Ventures Capital.  A VC with USD 50M goes all around across countries and regions, see through 5,000-10,000 ideas within its first 4 years before settling with a portfolio of around 25-50 investees.  Per 10 deals, hopefully one will hit big. …

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Market, product, and management team

One of my most remarkable realization in business in the year of 2013 is that when a deal unites these three pillars into one, it is more likely to be a good deal.  Seems simple – but it took me time, efforts, observations, and other people’s money to learn it …

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The emotional side of asset

Let’s start with Elon Musk’s wealth.  I started to notice Elon Musk’s net worth since he announced his ambitious Hyperloop project.  In March 2013, his asset was USD 2.7 billions according to Forbes; now in August 2013, his asset is USD 7.7 billions according to newest Bloomberg estimate. What makes his …

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USD 1 billion Vietnam’s Private Equity fund challenge

How large can a Private Equity fund in Vietnam be? No one can tell how much money a PE fund in Vietnam can raise, but I can say raising USD 1 billion PE fund in Vietnam will be very very challenging. I’ll explain why. Fund size has an impactful meaning …

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Developments that shall unfold

I remember one of the first thing when I read what Philip Delves Broughton wrote about finance in his book “What They Teach You at Harvard Business School” was that finance is all about valuation, not quite exact his word, but that was the central idea.  It took me 4 …

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Some random things about investment

Some random things I keep about investment. From a retail investor perspective. 1. Invest with a system. This is why an investor can success in this journey. It is damn hard to build one, but I know no person thinks about investment setiously and say it is an easy game. …

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