Thought it would be prudent to add. I hold a considerable allocation towards SE and haven't sold a share. Although I saw some are trying to build a full position, and if I was them, I would not be inclined to build a large position at these prices with certain caveats.
The key risk is that SE is literally purchasing revenues and the digital bank is going to most likely swallow more cash flow. Optically they are cash-flow negative, but cash-flow positive due to Free Fire and breaking-even of Shopee. They are heavily reliant on Free Fire to catch fire for eons to come to fund these investments. Multiple spinning plates and a lot of execution risk. With the digital bank - they may be back to being cash-flow negative and rely on share issuance.
The reason why I haven't sold a share is that if SE goes down 50%, I'm still sitting on a 100%+ gain. Secondly, I always have more capital coming in and I'm young. That's the caveat - if SE goes down 50% - it's just a case for me to purchase more of the digital back-bone of South East Asia at a discounted rate.
Nothing negative at the moment, but with every business that obsessive with the customer experience and long-term, things can go very badly in the short-term and translate to really bad drawdowns.
This is a 10+ year investment for me.
