Posts by Andrew Stotz
Tiny Interest Rate Hikes Are Painful for US Gov’t
Chart of the Day: Low rates allowed US Government debt to double with no rise in interest spending. But, if rates slowly double interest as a percentage of total spending would double to 10%.
Read MoreInterest Rates Down, Stocks Up and Vice Versa
Chart of the Day: Since 1987 short-term rate fell 91% to 0.5%. Long-term rate fell 62% to 3.0%. Falling interest rates, stocks up 745%.
Read MoreUltra-low US Rates and Very High Gov’t Debt
Chart of the Day: Normal rate of 2.7% would mean massive 5x increase in interest burden. The interest cost burden of a normal interest rate is now massive.
Read MoreNormalizing after 7 Years of Extreme Stimulus?
Chart of the Day: Short-term rate of zero for seven years following the global financial crisis in 2008. Normal rate of 2.7% would mean massive 5x increase in short-term rates.
Read MoreIndia Is Not the New China, at Least Not Yet
Opportunities for India lie in increasing movement of labor away from the agricultural sector, increasing overall labor force participation and increasing female labor force participation. These opportunities are also challenges.
Read MoreNo-Nonsense Advice for Your Financial Future
The Investor’s Manifesto does a great job of explaining basic finance fundamentals. Bernstein writes no-nonsense advice for his reader’s financial future and drives his points home with precision and directness. For example his argument in favor of saving: “Save as much as you can, and do not stop saving until you die.”
Read MoreBusiness DNA: Legend of the Turnaround Master
Poe Lothongkam is a turnaround champ. Founding two restaurants while still in college before moving into venture cap at Sequoia Capital. Poe then went back to Thailand to take over and lead SVI to what it is today.
Read MoreActively Managed Funds Are Risky Business
This book ranks 3 out of 22 in my personal rank of investing books. I loved the simple style of writing in The Little Book of Common Sense Investing. One of the biggest things I took out of this book was a chart which Bogle produced which broke returns over the last century down into three elements: Dividends, earnings growth, and PE change.
Read MoreInvestment Parables – The Richest Man in Babylon
Though I personally find parables an annoying way of learning, the value of the messages within this book definitely stand the test of time. The richest man in Babylon’s secret is this, “A part of all you earn is yours to keep.” In other words, do not spend every penny you earn but invest it, and invest wisely.
Read MoreBusiness DNA: Building a Global Mega Brand
Mr. Dhawan has built a large, publicly-listed company that is the number one supplement maker in both Thailand and Myanmar—Mega Lifesciences. Through Mega’s Wellness We Care Center and We Care range of foods, the company has started a new segment which aims to reverse and prevent disease by providing customers with diet plans and products so they can eat right.
Read More