Now and then, I get caught up in a conversation about options and why I don’t utilize them in my investment strategies. First off, I love these conversations because they exemplify the greatness of our capitalistic, free-market system that enables everyone to use any number of financial tools to pursue profits. Second, I don’t utilize …
Can You Buy Insurance Against Stock Market Declines? Read More »
We’ve often used this blog to highlight the critical importance of being able to disassociate business performance from investment performance and using emotional intelligence to cut through the meaningless noise that pollutes our psyche. To do otherwise is a sure path to disappointment, and worse, severe investment underperformance. We’ve pointed out several cases where a company’s stock price seemingly …
It seems as though every four years, investors start wringing their hands over the presidential election and the impact it could have on the economy and the markets. Since the stock market was created, investors have attempted to find some correlation between election results and stock market performance, asking whether a particular election outcome will …
In a year that has seen 40 percent swings in both directions, it’s hard not to be utterly transfixed by the stock market’s performance and many of the stocks that have been carrying it this year. Like any year in the market, it’s the investment performance of some stocks that seem to dominate the headlines …
You’ve probably watched this scene play out before. Two friends talking at a backyard barbecue, and one excitedly mentions to the other he just bought a stock that is expected to be the next Netflix. “But my investment advisor says you need to get in now or you’ll miss the opportunity,” warns the friend. Not …
Does the Fear of Missing Out Control Your Investment Decisions? Read More »
As I discussed in a recent post, intangible assets are becoming increasingly important to the growth, profitability, and value of companies. Yet, because they are difficult to track and value, companies rich in intangible assets that create significant value typically understate their profitability and valuation due to archaic GAAP accounting standards. As I concluded in …
The Right Way to View a Company’s Intangible Assets Read More »