3Q22 Investor Letter
“In an ultra-low interest rate environment, investment skills are extravagated. In a rising interest rate environment, money is not created from thin air anymore. The cost of money itself is a fair judge of capital allocation decisions. In road cycling, one got to hustle at the upslopes and relax at the downslopes – he or she must be insane to reverse the order. But in investing, we see the order reversed all the time. At Dawnlight, we like to hustle now and deploy capital in a tightening environment.”