Our portfolio at The Fifth Person follows several simple rules: Own easy-to-understand, predictable, profitable businessesTake advantage of market panic to buy these businesses at discounts (most recently COVID-19, interest rate fears, China regulatory crackdown)Ideally, these are capital-light businesses with high recurring revenue streams Part 3 often draws the most questions from new members or from people who are less familiar with investment jargon. The concept of ‘capital light vs ‘capital heavy’ may be new to some investors but we’re going to discuss it a little today and, hopefully, you will walk away with a much better framework of what makes a business truly attractive. First, let us consider the following. If, you were to bet on a marathon runner, who would you bet on? A 150-kilogram runner or the 65-kilogram runner (assuming both are equally healthy, equally capable runners)? Take your time to decide. No cheating. <div class="wp-block-jetpack-gif"> <figure> <div...