iiinova — where your digital self keeps evolving

TJ Terwilliger @tj-terwilliger.bsky.social · 07/10/2026

Multiple expansion isn't the only way to make money. Businesses that can create their own returns: • Grow the dividend • Buy back shares • Make smart acquisitions The less you need Mr. Market, the better.

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TJ Terwilliger @tj-terwilliger.bsky.social · 04/10/2026

AI changes quickly. Physical assets don't. That's why businesses with heavy assets and low obsolescence deserve a closer look.

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TJ Terwilliger @tj-terwilliger.bsky.social · 02/10/2026

What's easier? Finding the next Nvidia. Or increasing your monthly investments by $500? Which one do you spend more time on?

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TJ Terwilliger @tj-terwilliger.bsky.social · 29/09/2026

Between January 2017 and 2019, $TSLA stock surged 93%. During this exact same period, Elon Musk admitted the company was one month away from total bankruptcy. Think about that. You could have known it was on brink of death, shorted it, and still lost your shirt.

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TJ Terwilliger @tj-terwilliger.bsky.social · 26/09/2026

Why do dividend investors naturally gravitate toward HALO companies? Because the things that make a business hard to disrupt make its dividend safer: Heavy assets → barriers to entry Essential services → reliable demand Low obsolescence → durable cash flow Durable cash flow → growing dividends

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TJ Terwilliger @tj-terwilliger.bsky.social · 25/09/2026

Interesting commentary from the CFO of $DG

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TJ Terwilliger @tj-terwilliger.bsky.social · 24/09/2026

Everyone asks: "What stock should I buy?" Almost nobody asks: "How can I invest twice as much every month?"

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TJ Terwilliger @tj-terwilliger.bsky.social · 23/09/2026

The beauty of dividends: You don’t have to sell your ownership to get paid. Think about Mark Zuckerberg - he owns around 340,000,000 shares of $META He could sell those shares to generate cash, or keep them and collect more than $740,000,000 every year in dividends.

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TJ Terwilliger @tj-terwilliger.bsky.social · 22/09/2026

Finding 10x stocks according to Peter Lynch:

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

Great capital allocators don’t just ask: “How can we grow?” They ask: “Where should the next dollar go?”

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

Why This Matters This is what makes Markel’s capital allocation so powerful. There’s no rigid formula. Gayner constantly asks: “Where can the next dollar earn the highest risk-adjusted return?” The answer could be: • The operating business • An acquisition • A stock • Markel’s own shares

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

Tier 4: Buybacks The final option is buying back Markel shares. But there’s an important catch: The stock has to be cheap. If $MKL trades below Gayner’s estimate of intrinsic value, buying back shares can create significant value for remaining shareholders. If it doesn’t? Keep the cash.

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

In other words: If Markel can’t earn an attractive return by investing in Markel, it can invest in someone else.

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

Tier 3: Public Markets Sometimes the best opportunity is outside Markel. That’s when Gayner turns to the public markets. He looks for high-quality businesses trading below what he believes they’re worth.

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

Tier 2: Acquisitions If the best opportunities aren’t inside the existing businesses, Markel looks for acquisitions. But not just any acquisition. The target needs to fit Markel’s expertise, have attractive economics, and offer a good return on the capital invested.

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

Tier 1: The Business The first question: “Can we reinvest this money into our existing businesses at attractive returns?” If a Markel business has great economics and capable management, give it more capital. Past performance earns future capital.

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

Most companies have a preferred way to deploy capital. Markel doesn’t. Tom Gayner’s philosophy is simple: Put each dollar where it has the best opportunity to compound. That could mean investing in the business, buying another company, buying stocks, or buying back Markel shares.

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

How does a specialty insurer compound book value at ~13% annually for more than 30 years? Not by sticking to one investment strategy. Tom Gayner treats every dollar at Markel ($MKL) as an opportunity-cost decision. Here’s his capital allocation playbook 🧵👇

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TJ Terwilliger @tj-terwilliger.bsky.social · 21/09/2026

Cheap stocks need the market to eventually agree with you. Great businesses don’t. They generate cash, buy back shares, pay dividends, and reinvest in growth. I'd rather rely on the business than the market.

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TJ Terwilliger @tj-terwilliger.bsky.social · 18/09/2026

You don't necessarily need to invest in the companies building AI. You can invest in companies that AI is unlikely to disrupt. Think: Heavy assets. Essential services. Low obsolescence. Strong cash flow. That's the HALO strategy.

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TJ Terwilliger @tj-terwilliger.bsky.social · 17/09/2026

Everyone wants the fastest-growing stock. But growth isn't enough. You also have to pay the right price. A company can grow sales 20% per year and still produce mediocre returns if you pay too much upfront.

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TJ Terwilliger @tj-terwilliger.bsky.social · 16/09/2026

Income creates savings. Savings create investments. Investments create wealth. Most people only optimize the third step.

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

You can build a high-income portfolio by simply owning great businesses at reasonable prices, and letting the dividends compound. That’s exactly what we’re trying to do with our High Yield Portfolio. What’s your favorite high-yield investment right now?

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

High yield doesn’t have to mean high risk. You just have to be selective about where the yield comes from. You don’t need covered calls. You don’t need exotic derivatives. You don’t need to chase 10–15% yields.

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

The real goal isn’t to maximize yield. It’s to maximize the amount of reliable, growing cash flow you can generate from your portfolio. That means focusing on: • Durable competitive advantages • Strong cash flows • Conservative payout ratios • Attractive valuations • Sustainable dividend growth

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

Here’s why this matters. A high starting yield gives you more income today. Dividend growth increases that income over time. And reinvesting those dividends means your future dividends can generate even more dividends. You’re building an income snowball.

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

Myth #2: High Yield = No Growth “If a stock yields 5%+, there’s no room left for dividend growth.” Our portfolio tells a different story. Average dividend growth: • 3-Year DPS CAGR: 4.7% • 10-Year DPS CAGR: 7.3% The objective is to combine a high starting yield with sustainable dividend growth.

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

A 6% yield from a struggling business is very different from a 6% yield from a durable business with strong cash flows and a sustainable payout. The goal isn’t simply to find the highest yield. It’s to find the BEST yield.

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

Myth #1: High Yield = High Risk There’s a common assumption that the only way to get more income is to accept dramatically more risk. But yield alone doesn't determine quality.

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

What We DON'T Own You’ll often see high-yield portfolios built around: • Covered-call ETFs like $JEPI and $JEPQ • High-fee BDCs • MLPs • Companies paying unsustainably high dividends We own none of those. The portfolio is built around operating businesses with durable competitive advantages.

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

Today: • Total Return: 11.58% • Yield on Cost: 6.14% • Forward Annual Income: $2,145.57 • Cash Collected: $959.52

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

Last December, we launched the Compounding Dividends High Yield Portfolio with one simple goal: Build a portfolio of high-quality businesses trading at attractive valuations while maintaining a yield above 5%.

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

The biggest misconception in income investing: “If you want a 5%+ yield, you have to buy junk.” Nope. You can build a high-yield portfolio around durable businesses, real competitive advantages, and growing dividends. Here’s how our real-money High Yield Portfolio is doing it 🧵👇

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TJ Terwilliger @tj-terwilliger.bsky.social · 14/09/2026

The Feynman technique works for stocks too. If you can't explain why you own a business to a child, you need to go back and do more work on it.

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TJ Terwilliger @tj-terwilliger.bsky.social · 11/09/2026

Domino’s $DPZ launched a new pizza. Instead of telling you it’s better than the competition, they were willing to prove it. If you bought a Big Mac, Whopper, Crunchwrap, Chicken Sandwich, or Chipotle Burrito, they'd give you The Domino for free. Anyone try a free pizza?