PROFESSIONALLY BIASED SHORT TAKES
The Value
30 August 2022
The Value Stocks with good value have the tendency to outperform bad ones in a long run. How do we define good value? There are a lot of ways to define good. We define it through “comparing financial reports”. Without knowing what are bad, we cannot find those are good. There are nearly 6,000 stocks […]
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Margin of Safety
29 August 2022
Margin of Safety No investment is without risk, and when it comes to choosing a company to invest in, one of the most important goals is to not just do your best to avoid a loss of capital in the short term (even though this can be extremely difficult to avoid as one should always […]
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Franchise Power
29 August 2022
Franchise Power Whilst a franchise in a typical sense is where a business model and brand is identically replicated by an authorized franchisee, an economic franchise is quite different. As per Warren Buffet’s letter to his shareholders in 1991, he claimed that an economic franchise is as follows: “An economic franchise arises from a product […]
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Financial Strength
29 August 2022
Financial Strength The financial strength of a company is quite possibly the most important overall determining factor as to whether it will survive and even more importantly, thrive. Not only must we take into account the “standard” financial measure of profit, revenues, operating cost how the business is performing but also how likely a company […]