The Power of Positioning with Smart Money

Core principle: When you invest alongside super investors, you're positioning yourself with people who:

• Have decades of experience
• Manage billions of dollars
• Have teams of analysts
• Can influence stock prices through sheer demand

The advantage: Where big money goes, profits often follow. Their ability to move markets through massive demand makes them powerful allies.

Popular Investors

Shows the most notable super investors with positions in the stock

Biggest Holders

Displays institutions with the largest positions by dollar value

Key Information to Examine

For each super investor, you'll see:

1. Name and Fund
2. Recent Action (Held, Increased, Decreased, Opened, Closed)
3. Average Buy Price
4. Current Return (Gain/Loss %)
5. Position Value (Total $ invested)
6. Portfolio Percentage (% of their entire portfolio)

Let's break down each metric and what it means for your investment decisions.

1. Recent Action: What Did They Do?

Possible actions:

• Held: Maintained position unchanged
• Increased: Added to position (bullish)
• Decreased: Reduced position (caution)
• Opened: New position (very bullish)
• Closed: Exited completely (very bearish)

What you want to see: ✓ Held or Increased = Positive
✓ Opened = Very positive (new conviction)

Red flags: ✗ Decreased = Investigate why
✗ Closed = Serious concern

2. Average Buy Price: Your Competitive Advantage

This is one of the most powerful data points in the entire platform.

Why it matters: If a super investor bought at $289 and the stock is now at $270, you can buy 22.5% cheaper than someone who manages billions of dollars.

Example: Bill Dumahel of Route One Investment Company

• Average buy price: Higher than current
• Current return: -22.5%
• Your advantage: You can buy 22.5% lower than he did

Key Insight: When you see a super investor down on their position, it often means YOU have an opportunity to buy at a better price than billion-dollar fund managers got.

3. Position Value: How Much Skin in the Game?

Shows the total dollar amount invested in the position.

My thresholds:

• $50-100 million+: Significant position
• $200 million+: Very significant position
• $500 million+: Massive conviction
• $1 billion+: Core holding

Why it matters: The more money invested, the more due diligence was done. Large positions indicate high conviction.

Example from video:

• Bill Dumahel: $228.1 million position
• Boykin Curry (Eagle Capital): $1.4 billion position

4. Portfolio Percentage: True Conviction Level

Shows what percentage of their ENTIRE portfolio is in this one stock.

My threshold:

• 1%+ = Meaningful position
• 3%+ = Significant position
• 5%+ = High conviction core holding

Why this matters more than dollar amount: A $50 million position might be:

• 10% of a $500M fund (huge conviction)
• 0.5% of a $10B fund (small position)

Portfolio percentage reveals TRUE conviction level.

Example: Boykin Curry

• Position value: $1.4 billion
• Portfolio percentage: Over 5%
• Analysis: This is a CORE holding for a major fund manager

5. Change Percentage: Recent Conviction

How much did they increase or decrease their position recently?

My significance threshold:

• 15%+ increase: Significant conviction
• 25%+ increase: Very strong conviction
• 40%+ increase: Exceptional conviction

Example: John Kim of Night Owl Capital Management

• Increased position by 40%
• Currently down -41.2% on the position
• Position value: $44 million
• Portfolio percentage: 5.5%

Analysis: He's down 40% but INCREASED his position by 40%? That's doubling down on conviction. This is a super investor buying more at lower prices—very bullish signal.

Example 1: Bill Dumahel – Route One Investment Company

The data:

• Action: Held position
• Average buy price: 22.5% above current price
• Position value: $228.1 million
• Portfolio %: Not shown but substantial given dollar amount

Analysis: ✓ Large position ($228M)
✓ Holding despite being underwater
✓ You can buy 22.5% cheaper than he did
✓ Gives confidence in the stock's potential

Example 2: John Kim – Night Owl Capital Management

The data:

• Action: Increased by 40%
• Current return: -41.2%
• Position value: $44 million
• Portfolio %: 5.5%

Analysis: ✓ Increased while stock dropped (buying the dip)
✓ Over 5% of portfolio (high conviction)
✓ $44M position is significant
✓ You can buy 40% cheaper than his average

Super bullish signal: This investor is ADDING to a losing position, showing extreme conviction it will recover.

Example 3: Boykin Curry – Eagle Capital Management

The data:

• Action: Increased by 17.3%
• Current return: +82.9%
• Position value: $1.4 billion (with a B!)
• Portfolio %: Over 5%

Analysis: ✓ Already up 82.9% (proven winner)
✓ Still INCREASING the position (more upside expected)
✓ $1.4 billion = massive position
✓ Over 5% of portfolio = core holding

Interpretation: When a super investor is UP 82.9% and STILL increasing by 17.3%, they see significantly more upside ahead.

What I'm Looking For

Primary criteria:

1. Overall increase in super investor positions

   • Looking for multiple investors increasing
   • Especially 15-20%+ increases

2. Position size: $15-20 million minimum

   • Shows meaningful commitment
   • Prefer $50M+ for higher conviction

3. Portfolio percentage: 5%+ preferred

   • Indicates core holding status
   • Shows true conviction level

4. Recent increases in high-conviction positions

   • Investors adding to existing large positions
   • Particularly powerful when they're already profitable

The Power of Confluence

Strongest signals combine:

• Large position size ($50M+)
• High portfolio percentage (5%+)
• Recent increases (15%+)
• You can buy lower than their average

Example of perfect setup: An investor has a $100M position (5% of portfolio), recently increased by 20%, and you can buy 15% cheaper than their average. That's a high-confidence opportunity.

Step 1: Scan the List

Look at the "Popular Investors" and "Biggest Holders" tabs. Note which well-known super investors have positions.

Step 2: Check Recent Actions

Look for:

• Who is INCREASING positions
• How much are they increasing (15%+?)
• Are multiple investors increasing?

Step 3: Analyze Position Sizes

Focus on:

• Dollar amounts ($50M+)
• Portfolio percentages (5%+)
• Both together for best signal

Step 4: Compare to Current Price

The critical question: Can you buy lower than the super investors' average?

Best case: They bought higher, so you have a built-in margin of safety

Good case: Similar price to their average

Be cautious: You're buying significantly higher than their cost basis

Step 5: Look for Patterns

Strong conviction patterns:

• Multiple super investors increasing simultaneously
• Large positions (5%+ of portfolio)
• Investors adding to winning positions
• Investors doubling down on losing positions (contrarian confidence)

Warning Signs

Be cautious when:

• Multiple super investors DECREASING positions significantly
• Large position closures (exiting completely)
• Decreases from high-conviction holders (5%+ portfolio)
• No notable investors increasing positions

These could indicate:

• Deteriorating fundamentals
• Better opportunities elsewhere
• Sector rotation
• Profit-taking at peak valuations

For Value Investors

Use super investor data to: ✓ Confirm undervalued opportunities
✓ Validate your analysis
✓ Gain conviction in contrarian positions
✓ Identify margin of safety (buying below super investor prices)

For Growth Investors

Use super investor data to: ✓ Find growth stocks with institutional backing
✓ Identify which investors specialize in growth
✓ See which growth stocks have increasing conviction
✓ Validate growth thesis with smart money

For All Investors

Super investor data provides:

• Conviction confirmation
• Price benchmarks (their average vs. current)
• Risk management (if they're exiting, investigate why)
• Opportunity identification (multiple investors increasing = strong signal)

1. Follow the smart money—Super investors have resources and expertise you can leverage
2. Position size matters—Look for $50M+ positions for significance
3. Portfolio percentage reveals conviction—5%+ shows core holding status
4. Recent increases show conviction—15%+ increases are significant buying signals
5. Compare your entry to theirs—Buying lower than super investors = built-in margin of safety
6. Multiple investors increasing = strong signal—Consensus among smart money is powerful
7. Watch for doubling down—Investors increasing underwater positions show extreme conviction

• Research the super investors: Some have better track records in certain sectors
• Watch for clusters: Multiple super investors increasing simultaneously is very bullish
• Use their prices as benchmarks: Their average buy becomes a support level
• Large increases matter most: 40%+ increases show exceptional conviction
• 5% portfolio rule: This separates meaningful positions from peripheral holdings
• Profitable investors adding more: When they're up 80%+ and still buying, they see more upside

Remember: Super investors have billion-dollar teams analyzing stocks full-time. When they put 5% of their billion-dollar portfolios into a stock and then INCREASE their position by 20%+, that's a powerful signal you can act on. Position yourself alongside the smart money, preferably at better prices than they got, and let their buying power work in your favor.