Asset allocation – how investors invest capital across different asset classes like stocks, bonds, real estate, and commodities – is critical. In fact, research suggests that asset allocation can play a more important role in investors’ long-term success than which individual investments they own.
We are recommending a two-part trade today: the early close of our existing put position in Venture Global, which will free up capital to open a new position in Albemarle preferred shares, as follows: Note: the Albemarle preferred shares are listed on the New York Stock Exchange and can be bought and sold like other
An investment fad is a short-term financial trend that quickly gains popularity and interest among investors – but typically lacks long-term viability or strong underlying fundamentals. You don’t need a deep understanding of finance – or physics, or astronomy – to spot fads. You simply need a strong mix of skepticism, market awareness, and knowledge of a few bright-red flags.
Each Friday, we provide an update on the current live tracking portfolio (as of the previous day’s closing prices), a summary of the last week of trading activity, and updates on any significant developments among the companies we have positions in.
Legal monopolies all have similar traits: They have dominant market share, they have enviable pricing power, and given a lack of alternatives for customers, these companies likely have highly predictable and mostly recurring revenue streams. All of that means big profit margins that flow to the bottom line.
Today Marty Fridson offers a word of caution for investors: The opportunity to purchase closed-end fund shares for less than the value of the assets they represent sounds like free money. But there’s a catch, he says.
The excerpt below from one of Porter’s classics is about one of the fundamentals of investing at the centerpiece of what we focus on at Porter & Co. Through market cycles, overhyped fads, and speculative trends, his approach to building long-term wealth has remained startlingly consistent.
In P&C insurance, our average return has been 66% over the last three years, with an average holding period of about 18 months. That’s more than double the S&P 500’s returns over matching periods. And we had no losing positions.