Posted on October 19th, 2012 by Barry Schwartz

Leverage buyouts (or the LBO) reached a frenzied pace in 2007. Nine of the top ten largest leveraged buyouts in history occurred in 2007, as private equity shops used loose lending standards, high valuations and low interest rates to their advantage. As we know all too well, this party ended abruptly and in tears a […]

Posted on October 9th, 2012 by David Baskin

What do we mean when we say that an investment is risky?  Do we mean that we have a good chance of losing all of our money, or part of our money?  Do we mean that the investment will fluctuate in value?  Do we mean that things we cannot anticipate or control will impact our […]

Posted on October 1st, 2012 by Jeff Pollock

The renaissance currently transpiring in the North American automotive sector will reward the investors that have the patience to see it through. From 2000 to 2007, over 16 million vehicles were produced each year. In 2009, that number fell to a mere 10 million. Though it will take several more years to return to the […]

Posted on September 23rd, 2012 by Barry Schwartz

“In 53 years we never had a discussion about macro affairs when buying or selling stocks.There is always going to be bad news“, Warren Buffett. If the greatest investor of all-time is telling you to ignore the headlines, you should listen. While macro issues are important, the future is unknowable so stop wasting time worrying […]

Posted on September 7th, 2012 by David Baskin

Governments around the world have been keeping interest rates at record low levels for about four years now.  In the wake of the great banking crisis of 2008, closely followed by the worst global recession in 80 years, central bankers have adopted an easy money policy.  The economic theory is simple:  make it cheap to […]

Posted on September 4th, 2012 by Jeff Pollock

Last month, office retailer Staples reported disappointing quarterly results that caused the market to trounce the stock 15% the following day. While the average investment analyst expected the company to earn $0.22 per share for the quarter, the chain reported only $0.18 per share as ink and paper sales slowed, thus missing Wall Street’s target […]