Month: November 2019

Skin in the game: Two for the watchlist

Richard uses his “Skin in the game” table to find companies whose directors are major shareholders. The experiment starts off badly with Asset Co., but gets better. Frontier Development and Focusrite could be great owner-managed businesses. To recap: We can use SharePad to find companies that are run by managers who are themselves significant shareholders. […]

Screening For My Next Long-Term Winner: Dotdigital

Today I have returned to the share screen I employed to pinpoint Victrex earlier this year. To quickly recap, this screen applies two ratios favoured by ‘quality’ investors — operating margin and return on equity (ROE). The exact criteria I re-used were: 1) An operating margin (latest and 10-year average) of 20% or more, and; […]

Investing alongside managers with skin in the game

Richard uses SharePad to find companies whose managers are also significant shareholders. They are likely to be building businesses for the long-term, he says. The reasons for investors to look kindly on owner-managers, executives that have large shareholdings in the firms they run, are ably described in this article by Harry Fraser, manager of the […]

Support & Resistance

Support and resistance are two common concepts when it comes to technical analysis. They are the most basic but also the most important points when plotting levels on a chart. Technical analysis is a self-fulfilling prophecy as many traders and investors look at the same levels on charts, and therefore support becomes support because people […]

Weekly Commentary: 04/11/19 – Profiting from Folly and Disaster

Profiting from Folly and Disaster Old fashioned companies such as TP ICAP have started putting strong trading statement out which is strange times indeed. This is an old-fashioned voice broker of financial products. The staff are renowned for loud and boisterous traditional city behaviour which resulted in a £15m settlement with the regulator for their […]