Game-changing vision
Thanks for stopping by.
We are on a mission to create something very special, something transformative. Geez, I hate that word! But at least I didn’t use the word “disruptive” like so many companies say when they’re talking about their business “transformations” that go nowhere!!
That being said, the output my team has created since we quietly launched the MSM Quality Passive Index in February 2022 has produced encouraging alpha. The inherent weakness of the major indexes is that the market cap of a stock is the primary factor for its inclusion in an index. So, we are flipping the switch.
Fundamental and quality factors should be the reasons stocks are added to an index, and we are the first company to have approached an index from this point of view. This is why the MSM index has handily beaten the Russell 2000 and iShares Microcap ETF.
For example, since its launch and as of the date of this writing, the MSM index has outperformed the S&P 500, NASDAQ, Russell 2000 and iShares Microcap ETF by 17.94%, 16.39%, 31.82% and 37.90, respectively. At its peak, 24% of the index’s holdings rose over 100%, 45% rose over 50% and 76% rose over 20%.
So, we think we are onto something.
In short, we are creating the best smaller-cap index research platform that combines quantitative and qualitative characteristics to find the best companies at the right time that can produce short and long-term gains. Most importantly, the stocks in the Index are backed by our Cliff Note research (S&P Tear Sheets & ValueLine on steroids).
We focus on microcaps since these stocks offer investors the biggest chance to experience multi-bagger returns.
A little about me: A lonely microcap investor
I’ve been a full-time investor for over 30 years. Watching my dad invest was the first inspiration that put me on a full-time investing journey. The first investing book I ever read, given to me by my dad, was my second inspiration: “One Up On Wall Street” by Peter Lynch.
Lynch was a big proponent of laying out investment pitches quickly and concisely, which I have applied to my research from day 1. Thus, his teaching was a key influence for MSM CliffNotes. The MSM project was born from me going back to remember how I became a successful investor and understanding that the 2022 inflation reset has created a perfect environment for the quality-focused MSM strategy to excel and is going to be where the next bull market will live for the next 10 or more years.
I’ve been through a lot and have the battle scars to prove them… the successes, the mistakes and the regrets.
I started to go all in on my journey during the 1992 recession, fresh out of college. In 1996, a market pullback due to the failure and $3.6 billion bailout of Long-Term Capital Management was the first crisis to test my investing discipline. And you know the rest: The dot com & telecom bust in 2001, the 2008 financial crisis and the 2022 inflation reset.
But I learned a lot over the years, and so far, I’ve made it through.
In 2007, I launched GeoInvesting, a microcap research platform, where we have been providing in-depth research on great companies, as well as writing portfolio protection exposés to warn investors about fraudulent companies and pump-and-dump scams.
So far, GeoInvesting has profiled over 200 multi-baggers and exposed over 30 frauds/pumps & dumps.
My personal Cliff Notes are where GeoInvesting ideas come from. With MSM, I am now opening up all my Cliff Note research.
My Evolving Journey and Bold Promise
For the last few years, I’ve been thinking about what else I can do to help me to continue to grow as a microcap investor and improve my research process. So, I founded MSM.
You are probably asking yourself…
“What the heck does MSM stand for? Please Don’t tell me it’s from this guy's big ego, using his first and last name.”
Don’t worry. It’s not, but it’s quite serendipitous.
M= Momentum
S= Sustainability
M= Microcaps
… MS Microcaps.
Basically, I wanted to
begin creating the genesis of a platform that will help all of us benefit from carving out the best microcap stocks in the U.S. & Canada, from a 10,000 microcap stock universe, that are experiencing business momentum that can be sustained and create momentum in stock prices.
It’s been almost two years since I did a soft launch to a small group of investors to start building a track record for the MSM Index. I’ve been procrastinating over the full launch of MSM, wanting it to be perfect. But I decided to just do it since MSM is already producing alpha… and that’s all that matters.
If you can be patient with me, I promise the stuff I have planned will be well worth the wait. What you see today will evolve into a much different product months and years from now.
MSM will be a cutting-edge resource for investors who invest in or who are exploring investing in microcap, nanocap, and small-cap stocks. The idea generation we have been producing is off the hook. Over the next few years, MSM is going to be a prime hunting ground to find Tier One Quality microcaps and high-probability microcap turnarounds.
I guarantee it and will stake my entire career on it.
The MSM Platform 1.0
This MSM platform includes;
The first ever Tier One Quality Microcap Index. Our index is the only index where the qualification of a stock to be added to the index is determined by quality, valuation, price momentum indicators, multi-bagger potential, qualitative analysis and market cap. Why does no one do it like we do? Because it takes a lot of work and time.
Cliff Notes on each stock that’s included in the index vary in length. Our goal is to bring you ideas as quickly as we can.
Investor Tools to streamline the research process (Coming Soon)
Our MSM indexes combine quantitative and qualitative characteristics to find the best companies at the right time that can produce short and long-term gains.
Game Changing
Every stock included in the Index comes with a Cliff Note to give quick yet thorough reasons why we added stock to the index.
Investing themes of each stock added to the Index
Quick fundamental stats
Company description spelt out in layman's terms
Reasons we added a stock to the index
Caveats and risks
Valuation
Additional research tasks that must be completed
Sourced commentary from press releases, conference calls, company presentations and CEO letters to shareholders.
Hard Work
Peter Lynch said: “The person that turns over the most rocks wins the game”
When I first started thinking about the MSM project, I pondered how I could make it an asset-light project. To be honest, when I’m looking to invest in companies in my portfolio, asset-light businesses are great. They don’t require a lot of manual effort, and they generate high-margin recurring revenue.
However, I kept running into a wall when it came to creating an asset-light idea generation platform that will truly deliver meaningful alpha for MSM users. I eventually came to the realization that I love investing in stocks, doing the research, and the manual effort that goes into finding great companies and discussing those ideas with other investors. This is how I will drive the most alpha for you.
So, screw asset-light; I’m going all in on Manual Effort.
How To Use MSM
So, how can you use the index? Well, for starters, if you’re just looking for potentially great smaller-cap ideas to dig into and add to your portfolio, MSM will be a great place to begin.
Maybe you’re a beginner to an intermediate investor and want to see what our Cliff Note thought process looks like so you can create your own Cliff Notes. This will help you quickly mine through your research pipeline.
Or maybe you want to submit a stock pitch to other websites. The MSM indexes will be a great place for you to find quality companies to increase your chances of your submissions getting approved, having a great return performance, and building your reputation.
Evolution
MSM is going to evolve over time and in fact already has. We currently manage two indexes.
The Passive Index contains every stock we have ever included in the Index. With the Passive Index, we are doing our best to bring in companies from our Tier One Quality universe at the right time.
Because of the success we were having with the Passive Index, a few months into its launch, we launched the MSM Active Index. The Active Index removes certain stocks from the Passive Index that might be facing issues or have reached short and long-term valuation targets we set.
As more data is compiled, my goal is to keep tweaking the MSM index strategy to enhance returns.
Your support will help us reach our goals faster.