How many investment avenues provide the opportunity to double your money in four years? Using the rule of 72, an 18 per cent compound annual growth rate (CAGR) can quickly be calculated. Lots of fun, with lots of exciting twists and turns including the 2018 mini-bear market and the COVID plunge of 2020. The Titanium […] Read more
How I doubled my money in less than four years
Not quite as good as my son’s spec foray, but it was the whole portfolio — not one stock
Environmental, social and governance investing
Is it another new fad?
Business and investing fads come and go, much like other aspects of life. Those with merit last longer than others, while many fall into the trash bin of overhyped and bad ideas. Two decades ago, Six Sigma became a highly touted business concept, designed to reduce defect rates to less than 0.0003 per cent. I […] Read more
Specs and SPACs, Part 2
...and how my idiot son quintupled his money in two months
No children were insulted in the writing of this article. In fact, our youngest gave me the subtitle, and is the lead character in the story. (Read Part 1, here) As they were growing up, our kids were learning how to allocate scarce resources from their allowance and sports refereeing earnings between immediate gratification (a […] Read more
Specs and SPACs…
...and “how my idiot son quintupled his money in two months” (his words)
“But the most absurd and preposterous of all, and which showed more completely than any other, the utter madness of the people, was one, started by an unknown adventurer entitled ‘Company for carrying on an undertaking of great advantage, but nobody to know what it is.'” The above quote is by Charles Mackay from a […] Read more
Free money … what’s not to love?
Investing for Fun and Profit: Leading to my 2021 market predictions
The essence of market economies is that millions of individuals making profit-oriented decisions, for the benefit of themselves, their families and communities, will allocate resources significantly more efficiently than government bureaucrats making the same decisions on behalf of millions of individuals. One of the key reasons is everyone’s circumstances are different and can therefore make […] Read more
Titanium-Strength Portfolio continues to live up to its name
It could also be called the do-nothing portfolio
It has been a little over a month since the turn of the calendar, but I am writing this the day after the Washington siege as my first column of the new year. What other zaniness might occur between day of writing and day of reading remains to be seen, but a constant has been […] Read more
“He who lives by the crystal ball will eat shattered glass”
Neither seer skill nor mathematical acuity are very important for market success
The quip in my column title was authored by Ray Dalio, a highly successful hedge fund manager, founder of Bridgewater Associates and successful author. I am writing near the end of a tumultuous year for a publication date early in what will hopefully become a year when life and the markets return to some level […] Read more
Why is simple so difficult?
Following a consistent approach helps to simplify
In my former corporate life, I frequently lamented needless complexity with the refrain, “They have a never-ending ability to turn simple stuff into rocket science.” At one point, a CEO made the infamous statement that “complexity is our friend,” releasing a torrent of complexity from minions aiming to please. It is my belief that complexity […] Read more
The difference between an investment and a speculation
Speculations are often described as investments because that word has a more positive connotation
Differentiating between investments and speculations is more nuanced than distinguishing investments from expenses. Speculations are often inappropriately referred to as investments with the main similarity being both are purchased with the intent of profiting. The allure of speculations is their potential for quick and dramatic profit, but quick and dramatic losses are more probable. Let’s […] Read more
Why investment is one of the most overused words
To be a true investment, the purchase must meet three criteria
Our city cousins almost unanimously believe a house is likely to be the biggest investment they will ever make. We have all heard this and many believe it to be true. Then, after purchasing a house, they often invest in renovations to increase its value, and, of course, they must invest in furniture to make […] Read more
Cyber-Savvy Farmer
