The Atomic Portfolio

Skin in the Game.

This is not a model portfolio. This represents my actual capital deployment. The strategy is simple but not easy: Identify a few exceptional “survival assets” with widening moats, buy them at rational prices, and do nothing for a long time.

I hunt for monopolies in miniature. My strategy blends Peter Lynch’s eye for growth with Terry Smith’s demand for quality. I look for scalable, high-margin businesses dominating overlooked niches; companies capable of 10x or 100x returns over a decade. The goal is not to trade, but to identify 'compounders' early, buy them when they are ignored, and hold them through the volatility that shakes everyone else out.

In other words (as stated by Terry Smith):

Buy good companies

Don’t overpay

Do nothing.

Concentration Strategy: I do not believe in “diworsification.” If I have high conviction in a destination, I back it heavily. My top 3 positions account for ~50% of total equity.

Last Updated: February 06th, 2026

/// TERMINAL_ACCESS: GRANTED
/// PROTOCOL: ATOMIC_MOAT_V.2026
/// STATUS: HIGH_CONVICTION_OPTIMIZED

+--------+--------------------------+--------+-------------------+
| TICKER | ASSET_NAME               | ALLOC  | CLASS_TYPE        |
+--------+--------------------------+--------+-------------------+
| $DUOL  | Duolingo                 | 17.9%  | CONSUMER_MONOPOLY |
| $ADYEN | ADYEN                    | 15.3%  | Payments          |
| $SEZL  | Sezzle                   | 12.3%  | FINTECH_ROCKET    |
| $RBRK  | Rubrik                   | 10.2%  | Cyber Security/AI |
| $VHI   | Vitalhub Corp            | 08.6%  | VMS_COMPOUNDER    |
| $KSI   | Kneat.com                | 08.3%  | PHARMA_STANDARD   |
| $ITECH | I-Tech AB                | 07.9%  | MARINE_BIOTECH    |
| $AVT B | Avtech Sweden AB         | 06.9%  | AERO_ESG_PLAY     |
| $ZDC   | Zedcor Inc               | 06.7%  | INFRA_SCALER      |
| $ACFN  | Acorn Energy             | 06.9%  | MICRO_IOT_PLAY    |
+--------+--------------------------+--------+-------------------+
| CASH   | Dry Powder               | 00.0%  | DEPLOYABLE        |
+--------+--------------------------+--------+-------------------+

>>> TOTAL_POSITIONS: 10
>>> GEOGRAPHY: NA (58%) | NORDIC (42%)
>>> CONCENTRATION_TOP_3: 44.7%
>>> SYSTEM_NOTE: RISK_PROFILE: AGGRESSIVE_GROWTH.
>>> END_OF_LINE_

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The Investment Framework: The Atomic Moat

I view stocks not as ticker symbols, but as fractional ownership in real businesses. To enter the Atomic Portfolio, a company must survive a rigorous stress test based on three pillars derived from the masters of compounding:

1. Destination Analysis (The Sleep & Smith Test)

I don’t ask “what will earnings be next quarter?” I ask: “Where is this business in 10 years?”

• The Moat of Inevitability: Is their product a “nice-to-have” or a “mission-critical” utility? I hunt for high-margin businesses embedded so deeply in their customers’ operations that switching is impossible (e.g., Kneat, Computer Modelling Group).

• Return on Invested Capital: I seek companies that can grow without requiring heavy capital injection. High gross margins are the first line of defense against inflation.

2. The Multibagger Hunt (The Peter Lynch Test)

I look for the classifications Lynch made famous, specifically targeting situations where the market is blinded by short-term noise:

• The Fast Growers: Companies growing 20-30% annually where the multiple looks high today, but is cheap relative to the “terminal value” (e.g., Duolingo, Zedcor).

• The Hidden Assets: Companies with a concealed value driver—often a high-margin recurring revenue stream disguised by a lumpy hardware business (e.g., Acorn Energy).

• The Turnarounds: Businesses that have fixed their fundamental problems, but where the share price still reflects the past, not the future (e.g., Sezzle).

3. Asymmetric Efficiency (The Micro-Cap Edge)

I hunt where Wall Street cannot go.

• Institutional Absence: I focus on micro-caps and small-caps often ignored by ETFs and big funds. This is the last bastion of true market inefficiency.

• Regional Dominance: I prefer dominant players in “overlooked” high-quality markets (like Sweden or Canada) rather than fighting for scraps in the crowded US large-cap space.

The Discipline of Inactivity

Wall Street competes on milliseconds and quarters. I compete on decades. My edge is Time Arbitrage. I am willing to look foolish in the short term to be right in the long term.

I sell only under three conditions:

1. Thesis Drift: The “Destination” has changed. The competitive advantage I bet on is eroding.

2. Valuation Madness: The price becomes mathematically detached from any plausible future cash flow.

3. The Survival Upgrade: I find another asset offering significantly higher compounded returns with equal or lower risk (The Hurdle Rate).