image: Wikimedia commons.
The term "gut check" usually refers to the idea of testing resolve, assessing the level of conviction to press on to the goal even in the face of increasingly difficult conditions.
Militaries around the world have devised various ways of creating "gut check" scenarios: one such "gut check" that...
Friday, September 26, 2014
A Market Transition? We Hope So!
image: Wikimedia commons.
It has been a lousy stock market lately, although we suggest that this is part of a healthy reassessment which has actually been going on for a long time -- well over a year, in fact, since many small and middle-sized companies are already considerably off of highs reached before...
Thursday, September 25, 2014
Have you heard of this company? PRAA
The previous post discussed the investment philosophy of Thomas Rowe Price, Jr., and his conviction that investors should focus primarily on the business merits of the company, and on finding well-run businesses positioned in front of fertile fields for future growth, and then should consider owning those selected companies through...
Tuesday, September 23, 2014
Thomas Rowe Price and the Growth Stock Theory of Investing
Kudos to Andrea Riquier of Investors Business Daily for her informative and timely story on Thomas Rowe Price, Jr. (1898 - 1983), and his timeless investment philosophy, entitled "T. Rowe Price was right with bet on American growth."
Her article points out that Price's convictions about the benefits of ownership of shares...
Thursday, September 04, 2014
John Maynard Keynes R.I.P....And Keynesian Economic Theory!
John Maynard Keynes (right) in 1946, at the inaugural meeting of the IMF Board of Governors.
Last week, economist Scott Grannis published a remarkable post over at his Calafia Beach Pundit blog in which he says:
The past six years in effect have been a laboratory experiment to determine whether Keynesian...
Sunday, August 17, 2014
Common Sense From George P. Schultz
For years we have been commenting on what we believed to be the necessary ingredients for a healthy and growing economy. More recently, given the subpar growth we have witnessed in the US economy, we have suggested that while the economy "gets by in spite", excessive government intrusion in the affairs of businesses and individual citizens alike,...
Tuesday, July 15, 2014
Be sure to head over to the Quarterly Investment Climate section of our website, where the latest Investment Climate (July 2014) has just been posted.
This quarter's commentary is entitled "Zero Interest Rates are not normal!"
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Friday, July 04, 2014
The "passive" investing myth
image: Wikimedia commons (link).
Over the course of three decades in the professional investment business, we've heard our share of arguments for so-called "passive investing," the idea that investing in securities designed to mimic the broader market represents the safest, least expensive, and most...
Thursday, June 19, 2014
Have you heard of this company? BCPC
From time to time, we highlight specific companies which we believe fit the profile of a classic Taylor Frigon growth company. These companies meet the criteria outlined by Thomas Rowe Price, Jr., in his 1973 circular "A Successful Investment Philosophy based on the Growth Stock Theory of Investing," which recommended investors...
Friday, May 16, 2014
Bullish counter-arguments to those declaring the end of growth
What's an investor to do in an environment in which many investment professionals and economists are declaring that strong business growth is a thing of the past, and that the only way companies will be able to grow their bottom lines will be through cost-cutting or acquisitions of other companies because organic top-line...
Tuesday, April 29, 2014
"Real investing" and the latest "momentum meltdown"
The meltdown of former high-flying "momentum" stocks has accelerated recently, and investors are being treated to a barrage of bearish commentary declaring that the plunge in these stocks is just the leading indicator of the arrival of a long-overdue catastrophe.
In particular, there is a contingent of commentators whose stated view...
