Preference for sector exposure should be based on where management finds recurring revenue, monopoly-like businesses with growth, not on a predetermined target allocation to each sector; this naturally results in high technology concentration because technology companies are more likely to meet the criteria of recurring revenue, non-discretionary products, and scalable cash flow.

normativepending

Speaker

Joseph Shapiro

Evidence Quote

we have some sector exposures because we just naturally like certain sectors

Source

The Compounders Hiding in Plain Sight | Joseph Shaposhnik on Finding Decade-Long WinnersExcess Returns
Created: 8/11/2026, 7:25:53 AM

My Notes

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