Choosing Individual Investments with Jay Yoon of Instavest
- Written by Candice Elliott
Today we speak to legendary Instavest investor Jay Yoon. We’ll learn his strategies and add ourselves to his growing number of groupies.
When we interviewed Instavest founder Saleem Khatri, he told us about Jay Yoon, their most successful investor. So we went to the source to learn his secrets!
Jay invests in a stock and writes a one page summary of why he did so on the Instavest site. Others can follow his recommendation and “tip” him for the suggestion. Just like tipping, it’s not obligatory, just a gesture of appreciation. The average tip amount Jay receives is 10% of the profit the investor made following his recommendation.
Jay has invested about $17,000 with Instavest. He uses other platforms as well. He was doing something similar on another site when Saleem reached out to him. Jay spent ten years working on Wall St before leaving to start his own investment company. He sees what he does on Instavest as a way to promote his business.
Jay doesn’t choose obvious companies that everyone already knows about when he’s on Instavest. He chooses small and mid cap companies that are a bit under the radar. He’s been using the site for about six months.
Just like LMM, Jay believes in buy and hold and recommends index funds for the average investor. And to focus on smaller stocks after putting in a lot of research if you’re going to do it on your own.
Jay looks at each company for over 100 hours before he invests initially and five hours a week once he’s made the investment. These are just for the “winners” though. He can tell within about the first 30 minutes if a company is a good investment and so worthy of more of his time.
If you don’t have hundreds of hours to research individual stocks, you can use an index fund like Betterment or mirror Jay over on Instavest!
Instavest: Follow the investor.
LMM Community: Join the conversation!
Featured Image Photo Credit: “Money and Magnifying Glass” by Images Money on Flickr