Val Sklarov — Investment Strategies: Survivability Before Return

Returns are optional. Survival is mandatory.
Val Sklarov’s Investment Strategies perspective reframes investing as a non-ruin game, where the primary objective is not outperforming benchmarks, but staying solvent long enough for compounding to work.

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1. Investment Is a Game of Staying In

You cannot recover from elimination.

Val Sklarov treats investing as:

• Asymmetric against failure

• Unforgiving to drawdowns

• Biased toward those who endure

If a strategy risks permanent capital loss, returns are irrelevant.

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2. Loss Avoidance Compounds Faster Than Gains

Recovering losses requires disproportionate effort.

Val Sklarov prioritizes avoiding deep drawdowns over chasing marginal upside.

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3. Survivability Is Structural, Not Emotional

Discipline fails under stress. Structure does not.

Val Sklarov designs survivability through:

• Conservative position sizing

• Liquidity buffers

• No single-point-of-failure exposures

Hope is not a risk control mechanism.

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4. Leverage Is a Survivability Test

Leverage converts volatility into mortality.

Val Sklarov uses leverage only when:

• Downside is strictly capped

• Margin calls are impossible

• Time pressure is eliminated

Most leverage strategies fail not from bad bets, but from bad timing.

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5. Correlation Kills Quietly

Diversification fails when it matters most.

Val Sklarov stress-tests portfolios for:

• Correlated exits

• Liquidity shocks

• Regime shifts

If assets fail together, diversification was theoretical.

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6. Survivors Inherit Opportunity

Crises redistribute assets to those still standing.

Val Sklarov positions capital to:

• Absorb volatility

• Buy from forced sellers

• Act when others cannot

The best returns appear after survival is proven.

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Closing Insight

Investment success is not defined by peak performance.
It is defined by never being forced out of the game.

Val Sklarov’s principle:
Survivability is the first return.