This must be a sure thing So you tell your IFA to investigate, but you don’t want fees, so go Passive. They extract the performance of the largest, a $6bn Global Clean Energy ETF. “Global & Clean”, perfect. Your eyes spot the 142% return in 2020 & then 47% pa for 3 yrs, 26% pa … Read on
But sometimes the misguided belief that you can buy historic performance needs a reality check. Like this, the pandemic has led to people spending more on their homes. For many, they’re now our: offices, gyms, restaurants, schools & cinemas. Less money on commuting & gyms = a larger house So do we buy Zillow, the … Read on
And what’s life without hope? But unless the future is exactly the same as the past, it’s surely false hope. Even more so when the current environment is the complete opposite of the past. Like now! For the March quarter, Netflix’s revenue growth accelerated from the prior 2 quarters to 24% EPS was the highest … Read on
But who knew of ARKK or Cathie Wood back then? If you didn’t, you may not have been interested, because ARKK’s 1-year performance to 31 March 2020 was minus 8%, the same as the S&P500. Roll fwd 1 year & her $2bn ETF has grown to $23bn as investors piled in. How well have they … Read on
The usual table shows 1, 3, 5, 7, 10 years. Assume a 10 yr old fund & equal return p/a – park compounding for now. The latest year’s performance contributes: 100% of the 1st column33% of the 2nd – 3yrs20% of the 3rd – 5 yrs14% of the 4th – 7yrs10% of the 10th – … Read on
Bernie Madoff has died in prison, remembered not as the “investor” who churned out a monthly +1% without fail, but as the world’s greatest fraudster “losing” investors $65bn. He lived a life of lies, turned in by his sons, one of whom died by suicide two years later. A tragic story on a personal & … Read on
Consider this, JP Morgan (JPM) is the 2nd largest holding & #1 bank in the S&P500 Value index @ a 2.7% weighting. Goldman Sachs (GS) is 29th at 0.68%. It’s quarterly earnings time. JPM reported revenue growth of 14% & an ROE of 23%, flattered by credit loss provision reversals. Strip provisions out from both … Read on
56.9% of respondents were bullish, a higher level has only occurred 4.7% of the time since 1990 (red line). But is there any predictive value in these readings? My scatterplot below shows the Bullish % & the subsequent 3-month returns of the S&P500 since Nov 1990 (source: AAII & Bloomberg). Over the entire period, positive … Read on
Pity shareholders can’t do that to the “cosy crew” at Prosus (PRX) who are protected by Naspers’ 72% and in turn, protected by NPN’s control structure refer pg 134 of their 137 pg AR PRX wrote in their interims on 23/11/20 “Finally, we remain committed to taking the right actions to unlock value for all … Read on
For those who ploughed £1.5bn into the company today, it’s less amusing. I fail to see the merits of waiting an hour for a delivered pizza costing £12 – £16, when one from Waitrose costs £3 or I bake my own for a few pence. But ignore my biases, here’s what I found troubling from … Read on