Welcome to Discearn Capital

If you know Hendrik Bessembinder’s research, you may be familiar with the disquieting premise:

Only 1% of all companies create the entire global net wealth.

The other 99% are just noise; a vast sea of tickers unable to outperform US Treasuries.

Now, this very supposition bifurcates humanity into two camps.

The first determines that identifying such superstar wealth generators is impossible.

This group either parks their hard-earned monthly premiums into an index fund or avoids investing altogether (rolling their eyes and making ill-conceived casino comparisons when asked about the stock market).

The second is the audacious, adventurous, if slightly insane cohort of outliers who embark on a lifelong journey to defy the doubters, identify the next Amazon and capture that moat magic in a bottle of compounding interest.

These vagabonds beat the benchmark and own their own islands by acquiring companies that:

·      Accumulate cash

·      Grow assets rapidly

·      Test your stomach with stupendous drawdowns

·      And splurge on R&D.

If your neurons are firing away, you came to the right place.

Discearn is on a mission to find and dissect companies and investment strategies which, in a very subjective but intensely researched view, have the potential of entering this narrow circle.