Money and Finance
Link to: The Quality Dimension of Value Investing
[H/T James]
- Broyhill Asset Management's Thesis On Hospira, Inc.
As equity markets make seemingly daily new highs, it would be easy to accept the current prices of stocks as “truth” but the correct price is impossible to ascertain, given the massive distortion encouraged by relentless and continuous central banks...
- Gmo Whitepaper: Profits For The Long Run: Affirming The Case For Quality
With a wide array of low-risk equity strategies now available, Chuck Joyce and Kimball Mayer, members of GMO’s Quality Investment Team re-state the case for a fundamental approach to low-risk investing. In making the case for Quality Stocks, they argue...
- Paying Up For Quality Stocks
Price is what you pay, value is what you get. - Warren BuffettA few years back, my wife and I were shopping around for a leather couch to put in our new home. As we walked around the showroom of a furniture store and had a look at some of the price tags...
- Use The Market's Short-termism To Your Advantage
Here's a general criticism that I often hear about investing in companies with economic moats: Companies with economic moats always look expensive and they trade with premium multiples to the market. How can we invest with a suitable margin-of-safety...
- First Post
With the market routinely making all time highs is this a good time to start an investing blog? After all, 2008-2011 was a bargain bonanza for investors, 2012 even had a few periods where prices got interesting. 2013? Not so much interesting. Of course...
Money and Finance
The Quality Dimension of Value Investing - by Robert Novy-Marx
Link to: The Quality Dimension of Value Investing
Buying high quality assets without paying premium prices is just as much value investing as buying average quality assets at discount prices. Strategies that exploit the quality dimension of value are profitable on their own, and accounting for both dimensions of value by trading on combined quality and price signals yields dramatic performance improvements over traditional value strategies. Accounting for quality also yields significant performance improvements for investors trading momentum as well as value.
[H/T James]
- Broyhill Asset Management's Thesis On Hospira, Inc.
As equity markets make seemingly daily new highs, it would be easy to accept the current prices of stocks as “truth” but the correct price is impossible to ascertain, given the massive distortion encouraged by relentless and continuous central banks...
- Gmo Whitepaper: Profits For The Long Run: Affirming The Case For Quality
With a wide array of low-risk equity strategies now available, Chuck Joyce and Kimball Mayer, members of GMO’s Quality Investment Team re-state the case for a fundamental approach to low-risk investing. In making the case for Quality Stocks, they argue...
- Paying Up For Quality Stocks
Price is what you pay, value is what you get. - Warren BuffettA few years back, my wife and I were shopping around for a leather couch to put in our new home. As we walked around the showroom of a furniture store and had a look at some of the price tags...
- Use The Market's Short-termism To Your Advantage
Here's a general criticism that I often hear about investing in companies with economic moats: Companies with economic moats always look expensive and they trade with premium multiples to the market. How can we invest with a suitable margin-of-safety...
- First Post
With the market routinely making all time highs is this a good time to start an investing blog? After all, 2008-2011 was a bargain bonanza for investors, 2012 even had a few periods where prices got interesting. 2013? Not so much interesting. Of course...