 Good day, fellow investors. I recently made a pretty bullish video on Facebook. I said I was long Facebook and then I got a lot of comments about, okay, I am long Facebook, but I have only 3% of my portfolio in Facebook. And I want to hear discuss a little bit how I go about my portfolio exposure, what's the risk reward and what it gets in the end and how I balance those exposures. That's key when it comes to investing. Just look at the comments. By the way, aren't you worried about antitrust? So it's all a risk reward. Even with Facebook, look at the portfolio exposure 3% now. So I remember how fast was the debt of my space and Skype again. 3% portfolio exposure. Facebook can go down, Facebook can go up. How am I going to balance that in relation to my portfolio? Facebook has more room to fall. Yes, I hope it reaches my second and then even third or fourth buying target. Then we are in the double digits for Facebook, 80. Now let me put things into perspective about Facebook. Okay, upside we have discussed Instagram shopping, e-commerce, higher ad prices, better ad load, WhatsApp, Messenger, whatever. And then I want to talk about, okay, what's the negative side? If let's say next year in two years there is a recession, the ad growth isn't that big. It slows down to 5%. That's it. The e-commerce is not yet launched or it's still tested, doesn't have that kind of traction. And the regulatory environment puts pressure on more costs for Facebook so that the margins get squeezed. So we have a company growing at 5% with slowing down margins and let's say stable earnings. When the market gets a few quarters of debt, let's say it happens in 2019, the analysts will get crazy. They will change all their models and they will forget about the long-term potential. And then you will see, okay, someone say stock price, if interest rates go higher, even worse, you will see earnings of 6 times the price earnings ratio of 15, Facebook target price 90. And if there is a stock market sell off, it will hit that 90, it will go to 70. That's a potential. And that's what I'm thinking when I'm exposing myself to a company like Facebook. So the current price, I don't know, 160, let's take 50% down, 280. And let's say the upside is 100% up and I put 3% of my portfolio into debt. When the stock price drops to 120, 33% down, 166% up, I put 4%. When the stocks drops, if it drops to 80, 25% down because it can always get lower, 400% up, and then I put 6% of my portfolio into debt. Why not more? Because there is no tangible assets and there is no margin of safety. So if it would be below price to book or close to cash per share, then we can talk. If not, it can go even lower because you never know what can happen in the world. And that's something to keep in mind when investing. The upside, of course, Facebook grows at 25%, reaches 10%, $10 in earnings, time of PE ratio of 30, and you have 300 like this in a year or two. That's the upside, that's the downside. And how to position yourself is the key. Further, for portfolio exposure, let me show you my biggest exposure at the beginning of 2018. It was Nefsson and why it was Nefsson. So 2018, the Nefsson stock went down to $2 per share in a sell-off and I had, I think, a double-digit portfolio exposure to that. Why? Because the price was 2. My estimated long-term value at a 15% return was 3.2. London did offer 3.6. They go for 12% returns and they are smart guys. The Chinese overpaid, but that's okay. That's normal in the market. At the point in time, I was already long, Nefsson, but when it hit 2, I increased further my portfolio exposure in order to take advantage of the risk reward that was going on there. The risk was practically zero because I knew that Nefsson had the mine with a net present value of $1.6 billion, $150 million in cash, and then there was a retry that will still deliver $150-$200 million in cash over the next four years in the worst case scenario. So the value was around $1.9 billion on a market cap of $600 million when it was the case there. So when you spread out T-Mock Serbia, Eritrea, there was really a little possibility of loss. So I could buy the cash, the investment in buying the T-Mock upper zone, lower zone, exploration had value zero, Eritrea had value zero. So I was really buying a lot of stuff for free, which told me in the worst worst worst case scenario, the downside is limited, the upside is huge, and that is what materialized. When Nefsson hit 3.4, 3.44 on the London offer, I sold a big part of my portfolio because it went from 10% to 20%, and that's a little bit higher exposure. So I sold a big part of that, and now I'll be selling the last one, the last part, as the Chinese are buying it. So it's all about risk reward. When I find a great company, when the downside is limited and the upside is huge, quality business, great assets, tangible to book value, huge cash, cash producing machine, I'm happy to go to 20% of my portfolio. When I found that in this market, in this part of the cycle, it's crazy for me to do something like that. Perhaps in the next year, two years, yes, and that's the greatest investment return you get, because then the downside is really limited 10, 20, 25%, 30%, but the upside is 400, 500%, and that are the greatest investments that really give power to your portfolio. Like I invested in 2002, 2003, like I did in 2009 till 2011, when the greatest returns were made. So just be patient, have proper portfolio, exposure, allocation, check the Friday news on how Buffett is doing that now, and you will have a better perspective on things. Thank you for watching and I'll see you in the next video.