While the stock market and the pandemic may have stabilised, I’m still thinking about financially strong firms. We never know when the next shock will happen, and a cash cushion gives us confidence a company will make it through when revenue melts away. I spent the last two articles experimenting with filters to find financially […]
Month: April 2020
Weekly Commentary: 27/04/20 – To the Future
To the Future With markets trending sideways Jeremy sees inflation ahead and takes at look at the food manufacturers which could be beneficiaries. Devro’s sausage casings could benefit in due course while Greencore could be a recovery stock. Read more
The Trader: Why You Should Be Using R
R is a component in trading that we use to define risk. It is a crucial aspect of trading systems and by thinking in terms of R we can improve our results. In this article I will introduce to you the concept of R and how to use it for your own trading. It is […]
Prudent 15: Ruffer Investment Company
The Ruffer Investment Company – big bets on a global new normal “There are decades where nothing happens; and there are weeks where decades happen” Lenin Generally, I have a very dismissive attitude towards the idea of absolute returns funds. The concept sounds alluring, whereas the delivery tends to be fairly dismal. The key idea […]
Weekly Commentary: 20/04/20 – Depression in a Wall of Money
Depression in a Wall of Money The market is caught between an oncoming depression and a wall of money inflating valuations. In this environment the bar bell approach is more appropriate than ever. Jeremy looks at Genus, Aquis Exchange and Urban Exposure as companies at differing ends of the bar bell. Read more
Filtering for financial fortresses
The conclusion of my last article on finding companies with strong finances contained two caveats. Companies with seasonal cash flows can look like they have strong finances at the end of the financial year, when they report, but be weaker at other times during the financial year. Also, strong finances are not necessarily the result […]
Weekly Commentary: 13/04/20 – With Recovery comes Refinance
With Recovery comes Refinance It is easy to stress over whether we are in a bear rally or the start of a bull market. But we know that companies have stressed balance sheets from disruption. Rather than chase individual opportunities it may be simpler to own the quoted brokers. This could be their time. Read more
Screening For My Next Long-Term Winner: A Covid-19 Special
Let me start with a confession.This Covid-19 ‘Special’ may not be all that special. I have just applied a new SharePad screen to seek ‘quality bargains’ amid the market chaos — and sadly the results were not that inspiring. The problem is nothing to do with me or my filters or SharePad. Instead, the Covid-19 […]
Weekly Commentary: 06/04/20 – After Value comes Recovery
After Value comes Recovery In a world full of value Jeremy takes a look at what a recovery may look like and picks a couple of cyclical recovery stocks with strong balance sheets that should benefit strongly in recovery. Mission Group and Zotefoams. Read more
Dynamic 35: Augmentum
A big bet on Fintech worth taking at this price – Augmentum OK, I’m not going to beat around the bush. l readily concede that now is not a great time, all things considered, to be talking about investing in a high-risk venture capital fund that invests in equally high risk private European fintech firms, […]
Putting safety first
Funny thing (peculiar, not ha! ha!). Search SharePad news for the phrase “strong balance sheet” and there are dozens of companies every day confirming their finances are strong as they reflect on the prospect of reduced, or in some cases, no revenue for a while. Search SharePad news for the phrase “weak balance sheet” though […]