How Harley Grosser turned $100k into $800k in 4 years
At just 23 years’ old, Harley Grosser did what many of us only ever dream of and founded his company, Capital H Management. At the time, he had $50,000 of his own savings, and $50,000 from his grandparents. Over the next four years, he grew that money to $800,000 – forcing his grandmother off the aged pension in the process!
He achieved these returns through a combination of taking concreated positions, investing in materially undervalued small and microcaps, and looking for catalysts to help realise the value in underappreciated assets.
In this episode of The Rules of Investing podcast, we hear about the beginnings of Capital H Management, he explains how he tracks down microcap opportunities, and he tells us about a company going through significant change that the market has yet to fully appreciate.
Topics discussed:
- 2:49 - The origins of Capital H Investments
- 6:54 - Capital H’s unique approach to investing
- 8:44 - How did Harley learn to invest?
- 13:04 - Why the focus on small/micro companies?
- 15:26 - Where are the best opportunities across the market currently?
- 19:39 - Crashes present a turning point in every fund manager’s career
- 21:56 - How to manage the risks associated with smaller names
- 25:49 - Signals of broken investment theses
- 29:07 - How does a small team cover a wide investible universe?
- 31:45 - Examples of red flags when screening companies
- 33:14 - What initially attracted Harley to Wisr, a 10-bagger for the fund
- 39:04 - A materially undervalued stock: Webcentral Group
- 41:59 - Harley answers our 3 favourite questions.
Never miss an update
Enjoy this wire? Hit the 'like' button to let us know. Stay up to date with my content by hitting the 'follow' button below and you'll be notified every time I post a wire.
Not already a Livewire member? Sign up today to get free access to investment ideas and strategies from Australia’s leading investors.
More from The Rules of Investing
To catch-up on previous episodes of the Rules of Investing, click here.
- The straightforward approach to picking ASX growth stocks (and 7 examples for good measure)
- Meet Armina Rosenberg: Mike Cannon-Brookes' former PM harnessing AI to outperform the market
- Inside Macquarie's unique approach to consistent alpha
- The secret to finding stocks you can hold for 20+ years
1 topic
5 stocks mentioned
1 contributor mentioned