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Blog 2018-06-01T19:13:27+00:00

What makes a company great?

By | July 11th, 2018|

When someone is asked to give examples of “great businesses”, the names that typically come to mind are well-known consumer brands such as Apple, McDonalds, or Amazon. Clearly there is something about these businesses that make people think they are great. Ernest Wong discusses the characteristics that we look for in great companies using Moody's an example.

Un-Liking Facebook

By | April 26th, 2018|

(This blog post was written on March 26, 2018 and included in our client newsletter for Q1 2018)  As many of our clients have undoubtedly noticed, Facebook is currently in a bit of a slump. Its shares are down around 20% from its peak at the beginning of February, and seems to be hit with bad news almost daily.

The Return of Volatility

By | April 12th, 2018|

In the two year period from January 2016 to January 2018 the S&P 500 Index had only one month in which it dropped as much as 1%. That is a remarkable and unprecedented record of stability. During that time span the market rarely moved either up or down more than 1% per day, and for the chart-watchers, never once dropped below its 200 day moving average price.

Cash Isn’t Trash; but Holding Too Much is Rash

By | March 22nd, 2018|

“25% of my portfolio is in cash,” is what I heard a portfolio manager say on TV during the February market correction. If only I had a dollar each time someone made this vacuous statement—I certainly wouldn’t keep it in cash! I don’t know why some portfolio managers think this is a viable marketing tactic, because I can’t imagine that anyone thinks that sitting on cash is a worthwhile investment approach.

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