The average investor’s greatest enemy is staring them in the mirror. Without a roadmap and having no guidelines except self-imposed constraints, bad behaviour leads to the “Behaviour Gap”—the gross difference between what an investor could earn by simply investing in a passive ETF and the results they actually achieve. Secrets at the Oasis lays out tips and shortcuts for an investor to decide what to use and when to apply them. Aside from founded core portfolio management concepts, multiple contrarian techniques and tactics are presented throughout to turn those short-term gambles into long-term strengths.  

SATO is written analogous to a journey across a barren desert where the opportunities are scarce and the dangers pronounced. Through 31 chapters, this tiered, progressive roadmap pragmatically introduces successful investing strategies and tactics as deployed by the author in founding and managing the Oasis Growth Fund. SATO is designed to work equally with new investors who may not even know where to start, and experienced investors who could benefit to recalibrate their methods. Who wouldn’t enjoy partaking an adventure, with potential treasures and rewards to be reaped along the way? Even learning to avoid traps, mistakes, and diminishing costs can all be just as valuable as finding that next great stock.   

Some chapter topics include:

• Risk 101
• Setting the Asset Mix
• Stock Selection
• Mindful Portfolio Management
• Day Trading 2.0
• Selling Stocks
• “Storm” Forecasting
• Making a Difference

J.T. MASON, CFA, CFP, is an independent Portfolio Manager registered with Fieldhouse Capital Management, Inc. in Vancouver, Canada. Twenty-five years of progressive asset management experience working with several national firms brought him ultimately to launch the Oasis Growth Fund based on client-centric principles. He grew up on a farm where neighbors helped neighbors and a handshake was your contract. Today, these timeless elements of trust underpin both the business model and the investment model of his practice.

Introduction

For DIY Investors

For Financial Advisors

Dedication

Foundation

Chapter 1. Eyes Wide Open

Hierarchy of Value Creation

Better Behavior Beats Brains

Are you a Consumer, Dabbler, Gambler, Capitalist, or an Investor?

Retail Investing – Three Pathways

Chapter 2. Choosing the Right Path

The Behavior Gap

Retail vs Professional investors: Differing Perspectives

Capital Markets Behavior: What Works? What Doesn’t?

Choosing a Path

Setting Expectations

Chapter 3. Risk 101

Risk: Building a Perspective

16-Step Risk Management Plan

Differences in Risk Perspectives: Retail vs Institutional Investors

Accountability Creates Value

Chapter 4. Setting the Asset Mix

A Holistic Risk Overview

Risk Capacity

Risk Tolerance

Required Rate of Return

The Asset Mix Decision

Chapter 5. Firming our ‘Backbone’

Keeping it Simple

Introducing the ‘Three Brains’

The Brain

The Heart

The Guts

Building Backbone

Chapter 6. The Case for a Planner/Advisor

A Professional Backstop

Planner versus Advisor

Performing an Annual Assessment

Hiring a Planner and (or) an Advisor

Changing a Planner or an Advisor

Going DIY

Foundation Comments

Tier 1

Chapter 7. The OGF Investment Model

Winning Should Never be by Chance

Value vs Growth

Eight Steps to Building a Purposeful Portfolio

Step 1: Setting the Investment Policy

Stock Selection Schematic

Chapter 8. Stock Selection: Quantitative Filters

Step 2: Six Quantitative Filters

North American Stocks

Market Cap

High ROE Ratios

Top Line Revenue Growth

Bottom Line Profitability

Healthy Financial Statements

Step 3: Stock Screening Platforms

Shhh…Shortcuts

Chapter 9. Stock Selection: Brains and the Brawn

Step 4: Four Ways to Compare Stock Performance Traits

Annual Performance

Degree of Volatility

Sharpe Ratios

Beta ‘Muscle’

Step 5: Choosing a Stock Research Platform

Chapter 10. Stock Selection: Qualitative Filters

Step 6: Four Qualitative Filters

Leadership Qualities

Business Intangibles

Socially Responsible Investing

Environmental, Social and Governance Standards

Chapter 11. Stock Selection: Degrees of Diversification

Tangible Benefits of Diversification

Step 7: Active Diversification Techniques

Economic Sector

Industry

Correlation Coefficients

Summary of Diversification Techniques

Final Stage of Stock Selection

Chapter 12. Equal Weighting a Portfolio

Step 8: Partitioning Capital Equally Between Stocks

Chapter 13. Beware those Temptations

The Good

The Bad

The Ugly

And the Unnecessary

Chapter 14. The Buy-in

Importance of the ACB

How to Create Value when Trading

Trading from Strength

Trading Challenges

Three Buy-in Methods

Lump Sum Investing

Deploying DCA

ITM Put Contracts

Chapter 15. Tools and Resources

Education

Three Thoughts about Second Opinions

Triangulation - Putting it All Together

Discount Trading Platforms

Books and Authors

Expected Time Management

Tier 1 Summary

Tier 2

Chapter 16. Art of Rebalancing

Being Contrarian

A built-in Relative Strength Indicator

Seven Benefits of Rebalancing

Chapter 17. Fees and Accountability

Turnover Ratios

Calculating your Personal Turnover Ratio

Better Trading Practices

Behavioral Trading Buffers

Measuring your Value Proposition

Chapter 18. A Hidden Well of Income

‘Sell High, Buy Low’

Winning by Winning

Non-critical Risk

Rewards Worth the Risks

Chapter 19. Day Trading 2.0

Capitalism 101

Core Management vs Day Trading

Dr. Jekyll and Mr. Hyde

An Old Game but with Guidelines

Tier 2 Summary

Tier 3

Chapter 20. Warren B – The Ultimate Contrarian

Understanding the Behavior Gap

Principles and Behaviors of the ‘Wise One’

Success Follows Character

Become a Contrarian

Chapter 21. Contrarian Cash and Leverage

More Effective Cash Management

Investor versus Capitalist

Raising $USD Cash without FX Fees

Dividend Reinvestment Programs (DRIPs)

Seven Steps to Effective Debt Management

Chapter 22. In Search of Buried Treasures

 ‘Sell high. Buy Low.’

Selling Puts on Discounted Stocks

Plan A

Plan B

Plan C

Let the Hunt Begin

Effective Management of a Portfolio of PUTs

X Marks the Spot

Chapter 23. It’s All About the Sell

Selling Protocols

The Essence of Capitulation

Anger Management

Short Selling is Oversold

Tier 3 Summary

Tier 4

Chapter 24. ‘Storm’ Forecasting

Predictions are the Ugly Side of Forecasting

Three Preferred Sentiment Indicators

‘The Ultimate Wisdom of the Stock Market

Chapter 25. ’Rounding up the Camels’

Revisiting the Asset Mix

Keys to Moderating Volatility

‘Storm’ Prepping

Getting Reinvested

Post ‘Storm’ Evaluation

Chapter 26. Portfolio Protection 

Portfolio Insurance 101

Why Not Hedge?

Three Insurance Decisions

Protection plus Two Backups

Profiting from Volatility

Chapter 27. The Yin of Gold

Gold as an Investment

Gold as a Hedge

Gold for Diversification

Gold as Protection

Gold as the Reserve Currency

Buying Gold at 20-30% Discount

Tier 4 Summary

Oasis 3.0

Chapter 28. Putting it all Together

Chapter 29. The Financial System: Next-Gen

The Metaverse

Distributive Technology

Digital Currencies

Borderless, Frictionless, Timeless, and Fairer

Chapter 30. A Case for Active Management: The Oasis Growth Fund

The Vision

Objectives

Value Creating Processes

Discounted Fee Model

Our Philosophies

Index