Toff Capital: Physics, Specialty Chemicals Distribution, and $YAK

6 snips

Sep 29, 2023

Toff Capital is a professional investor and the brain behind ToffCap.Substack.com, where he dives deep into value investing. In this conversation, Toff shares his unique path from studying physics to mastering valuation in finance. He discusses the growth potential in specialty chemicals distribution and highlights key players like IMCD. He also reflects on the investment appeal of mundane businesses like ADF Group and delves into the investment prospects of Mongolia Growth Group, offering valuable insights into market dynamics.

Ask episode

AI Snips

Chapters

Transcript

Episode notes

ANECDOTE

Toff's Career Shift and Luck

Toff started with a physics degree and switched to finance after a midlife crisis feeling.
He became a valuation expert by luck and mentorship, then transitioned to portfolio management unexpectedly early.

INSIGHT

Valuation Needs Materiality Focus

Valuation in private markets demands focus on materiality, not obsessing over every detail.
Successful investing requires shifting from purely analytical to subjective thinking about market environments.

ANECDOTE

Buying Volatile Gaming Stocks Early

Early as a PM, Toff bought volatile gaming stocks like Ubisoft on dips caused by delays.
The freedom and low oversight helped shape his early portfolio construction experience.

Get the Snipd Podcast app to discover more snips from this episode

Get the app

I'm excited to have Toff Capital on the podcast this week. Toff is a professional investor who publishes the Substack, ToffCap.Substack.com.

This week, we discussed a host of topics, including:

Toff's research process
Idea generation
Toff's background and why he studied physics
Becoming a valuation expert
Specialty Chemicals Distribution
ADF Group $DRX
Mongolia Growth Group $YAK

If you enjoyed this podcast, please check Toff out on Twitter @ToffCap.

Finally, a big thanks to the following sponsors for making the podcast a reality.

Mitimco

This episode is brought to you by MIT Investment Management Company, also known as MITIMCo, the investment office of MIT. Each year, MITIMCo invests in a handful of new emerging managers who it believes can earn exceptional long-term returns in support of MIT's mission. To help the emerging manager community more broadly, they created ⁠emergingmanagers.org⁠, a website for emerging manager stockpickers.

For those looking to start a stock-picking fund or just looking to learn about how others have done it, I highly recommend the site. You'll find essays and interviews by successful emerging managers, service providers used by MIT's own managers, essays MITIMCo has written for emerging managers and more!

Tegus

Tegus has the world’s largest collection of instantly available interviews on all the public and private companies you care about. Tegus actually makes primary research fun and effortless, too. Instead of weeks and months, you can learn a new industry or company in hours, and all from those that know it best.

I spend nearly all my time reading Tegus calls on existing holdings and new ideas. And I know you will too. So if you’re interested, head on over to ⁠tegus.co/valuehive⁠ for a free trial to see for yourself.

TIKR

TIKR is THE BEST resource for all stock market data, I use TIKR every day in my process, and I know you will too. Make sure to check them out at ⁠TIKR.com/hive⁠.

Marhelm

Marhelm is an information service for investors to find real value in an overvalued market. With a focus on shipping and commodities, Marhelm helps you stay on the pulse of global trade, track global sentiment, and identify compelling investment opportunities. Get 20% of your subscription by using the code VALUE at checkout. Check it out here.