We often repeat the foundational tenets of our investing strategy in most articles because most new investors make the same mistakes. One of the biggest is trying to time the market, when good investors know that time in the market will trump any given high or low moment. For instance, we originally created and started adding to the Nanalyze Disruptive Tech Portfolio during the pandemic boom times, when many tech stocks were enjoying upsized IPOs and boasting valuations that could only exist in a vacuum of infinite optimism.
The bear market that followed turned our portfolio a very dark shade of red. Now, despite ever-present macroeconomic headwinds, many tech stocks have returned to their winning ways and the market is reaching new heights. Our losses are turning into green gains. The key thing is that we did not panic, did not chase the Robinhood hero of the day, or abandon our strategy of investing in solid growth companies. Instead, we analyzed our holdings, trimmed where prudent, cut when necessary (usually due to a prolonged period of stalled growth), but mostly held to our convictions while yet another market cycle played out. Our cash reserves are starting to grow and we’re looking to potentially add shares in existing positions or invest in new stocks that align with our tech category theses.
The former brings us to AvidXchange stock (AVDX), a pure-play business-to-business (B2B) payments tech company that is still trading at about half of the IPO share price back in October
