Over the past 37 years, since age 13, I have been investing in small and micro-capitalization public companies. During this period of time, I have been an individual investor, retail broker, hedge fund manager, proprietary trader, corporate finance principal and advisor (originating, structuring and investing in private companies going public through a multiplicity of alternative going public mechanisms). Now, after 8 months of preparation, I have come full circle, doing what I did when I started my career and plan to be doing for the rest of my days. A Fund manager.
During this 37 year period, I have experienced small and micro-capitalization companies and their entire capitalization tiers, rise and fall through a total of 10 cycles. With the emergence of each new cycle, the number of successful emerging public companies has decreased substantially. Even so, investing in such companies has enabled me to put myself through college and law school, live an acceptable standard of living; and still many years later put my family at financial risk. Only to then again prosper, heeding my lessons learned from mistakes made and successes attained; all from emerging growth companies. I have earned a PhD (of sorts) in this space and yet I feel that I will never know enough.
These companies are my passion, in my blood and DNA, cause me to get up in the morning with energy and optimism. They are dynamic and they are the companies, some of whom, become central to our economy, to our lives and often change our lives for the better. These small cap and micro cap companies develop leading edge, in vivo fertilization, that produces healthier babies and makes families’ dreams come true. They develop marketing automation to enable small companies to market to their customer bases, as if they were large, at a fraction of the cost of conventional [read-large] CRM and email marketing companies. They develop nutraceuticals that can improve health, cost effectively, without the necessity to go through the traditional health care system, paying a king’s ransom. These are the companies that, with excellent management, proper capitalization, compelling business models and large total available markets, become Amazon, Apple, Berkshire Hathaway, Intuit Surgical. They may be needles in haystacks, but, not unlike the elite private companies financed by the top venture capital funds, these micro cap companies become the Unicorns.