Monday, August 29, 2016

Note to Self


Stay away from market prognosticators. Never ever try to time the market. Nobody has ever done this successfully and consistently. Hunting the tops and bottoms is a myth. This is valid today and will remain so in the future. Do not gravitate towards quantitative market timers. Even a broken clock is right twice a day; always judge them on their overall record.

Monday, July 18, 2016

Thursday, April 14, 2016

Debt: The Double Edged Sword


Source: Aswath Damodaran's Blog

Damodaran: "One constraint that I will bring into my own investments decisions in 2016 is a greater awareness of financial leverage, where in addition to valuing businesses as going concerns, I will also look at how much debt they owe. I will not reflexively avoid companies that have borrowed substantial amounts, but I will have to realistically assess how much this debt exposes them to failure risk, before I pull the "buy" trigger."