The Stingy News Weekly (09/11/2016)
New from StingyInvestor
Boost returns with low P/E stocks
"You can see that adding the low-P/E requirement boosted returns in a big way. The low-P/E portfolio generated compound average annual returns of 13.79%, which is just over four percentage points more than the annual compound return of the baseline portfolio."
Nudges take a battering
"In yet another setback for the field, researchers have failed to replicate two studies showing that basic techniques can reduce racial achievement gaps and improve voter turnout." [Behaviour]
Plenty of stocks
"The prudent course for any retiree is to plan on a longer-than-normal life. Retirees typically liquidate only a small portion of their assets every year. Accordingly, the mere act of retiring should not prompt any change in your exposure to the financial asset - common stock - that is almost certain to produce the highest returns over the long run." [Retirement]
Uses of cash
"Less recognized is that nearly half of S&P 500 revenues come from overseas. Therefore, a strengthening dollar can substantially hamper U.S. company earnings and long term competitiveness." [Markets]
Underperformance: not a bug, a feature
"Berkshire Hathaway is a glaring example. If you look at Berkshire Hathaway on a daily, weekly, monthly, quarterly, or six-month basis over its entire history, an investor in Berkshire Hathaway would have underperformed the S&P 500 more than half the time. But despite that, an investor in Berkshire Hathaway would have made tremendously more money than an investor in the S&P 500." [Markets]
Dead or just painful
"On the one hand, stock-selection momentum strategies can have the potential to generate excess expected returns over the long run; on the other hand, these strategies sometimes generate massive amounts of investor pain when they inevitably go through long bouts of poor relative performance. It's a kind of quid pro quo: in order to access the potential gain, you must willing to accept the potential pain." [Momentum Investing]
Corruption in Canada
"Kathy Tomlinson reveals how loopholes and lax oversight are making it easy for a network of local and foreign speculators to play the system, and, in the process, fuel the steep rise in Vancouver home prices" [Real Estate]
A culture problem at Wells
"Everyone hates paying bank fees. But imagine paying fees on a ghost account you didn't even sign up for. That's exactly what happened to Wells Fargo customers nationwide." [Management]
DOW 30 Value Screens
S&P/TSX60 Value Screens
The Rothery Report
(Learn More | Subscribe)
The Rothery Report provides research on select deep-value stocks in North America. Discover overlooked and undervalued stocks in quarterly investment reports which provide detailed analysis of Canadian and U.S. stocks. Weekly email news and additional updates keep subscribers informed about new opportunities and developments.
|Disclaimers: Consult with a qualified investment adviser before trading. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute, financial advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. More...