Since my last quarterly update, there haven’t been many changes in my portfolio. Stocks have been on the rise since April this year -- making up for the losses in the first quarter. Looking further back, if I compare today’s asset allocation with … [Read More...] about Mid-year portfolio update 2018
As I have written multiple times in prior posts, our gut instincts, friends’ views, media reports, and most expert opinions are really not that useful when it comes to investing. We, investors, consistently underperform even the ordinary index funds … [Read More...] about Be mechanical about your investing approach
Most CEOs make token statements about taking care of shareholders. Some mean it, others don’t. We investors don’t have a good way to judge them. We are not privy to discussions in boardrooms or corner offices. We can’t read their minds either. We … [Read More...] about CEOs who take pay cuts
This was the year 2000 -- at the height of the Internet craze. I had two years of cash contributions ($2K max was allowed at the time) piled up in my Roth IRA. So, in March 2000, I bought $4K worth of Amazon shares (at about $70 per share) in my … [Read More...] about My lucky break with Roth IRA
My portfolio has some real-estate (RE) assets but not much. The only commercial real-estate that I have come to own (indirectly) is via public REITs (publicly traded real-estate investment trusts). I have been looking into adding a dose of commercial … [Read More...] about My quest for commercial real-estate
You can see from my 4Q portfolio update that I have been buying shares of Blackstone (BX). I first bought some shares in the third quarter last year – bought again in the fourth quarter – and my last purchase was in January. Blackstone is a … [Read More...] about Why I am buying Blackstone
As I explained in my previous post on dry powder, I have cash that only gets deployed when stocks go down by a certain amount. How much cash to deploy and when? From the same post, you can see the rulebook I follow. If stocks follow historical … [Read More...] about Revisiting my dry powder strategy
I realize that this sounds silly. Individual investors and university endowments don’t play in the same league! Still there is no harm in studying other investors’ portfolios. Even those that are managed professionally. For perspective, current … [Read More...] about Benchmarking my portfolio against Yale’s endowment
Elon Musk, Tesla’s CEO, said last month that economic moats are lame: “If your only defense against invading armies is a moat, you will not last long. What matters is the pace of innovation. That is the fundamental determinant of … [Read More...] about Are moats really lame?
If you were following business news in 2010, you must have come across one or two headlines bemoaning America’s “lost decade”. Between 2009 and 2012, there were many discussions in the business media and many columns were written in the press on this … [Read More...] about Revisiting the lost decade of U.S. stocks
Some investors are fascinated with dividend paying stocks. They invest in them exclusively. Often times, these investors are looking to generate income. Some investors also believe that dividend paying stocks are safer to invest in. There are … [Read More...] about Rise above dividends!
Why do I say that? Because people often think of the stock market as a roller coaster. It goes up for a while, but then goes down, eventually ending up at the same place where it began, and then the cycle starts over. The implication is that one must … [Read More...] about Stock investing is not a zero-sum game
These are all well-known companies. They are also very successful stocks since their respective IPOs. And they all have been rising with the market for last few years. Then what am I doing still buying them today? I own all four companies for many … [Read More...] about Apple, Starbucks, Facebook, Tesla
I don’t pay much attention to quarterly stock market changes. I don’t spend time trying to read tea leaves either. However, when the market goes down 10% or more from its peak, it spurs me into action. Why? As I detailed in this blog entry, I have a … [Read More...] about Quarterly portfolio update – March 2018
Why everyone and their grandmother don’t get rich investing in the stock market? It sounds straightforward enough to invest. All one has to do is buy an appropriate market index fund (or ETF) and hold it for ten or twenty years (the well-known … [Read More...] about Don’t fall for steady returns
Warren Buffett’s shareholder letter came out last weekend. It’s an annual ritual and it makes for great weekend reading. I am a long-time shareholder and I appreciate how he comments on the general state of investing – besides his own company, … [Read More...] about A lesson from Buffett