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Learning that drives better investment decisions

Baked in Uncertainty for 2019

By Become a Better Investor | Feb 1, 2019
Top 5 of the Week of January 28 - Become a #betterinvestor

In our Top 5 this week, we consider how paradoxical markets can be, reveal the largest 10 economies in the globe in 2030, and look at certainties in 2019. All this and more…

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It Has Been Tough for Small Companies in Terms of Sales

By Become a Better Investor | Jan 31, 2019
Global: Tough past three years for small companies in terms of sales growth | #ChartOfTheDay

Chart of the Day: Looking at all non-financial companies globally, grouped by size. Sales growth in line with previous peaks, except for Small companies. Small companies haven’t seen much sales growth since 2012.

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Lack of Commitment Can Deal a Death Blow to an Investment

By Andrew Stotz | Jan 30, 2019

My Worst Investment Ever: I have invested in a couple of businesses that were unsuccessful, but my worst investment ever was in my own start-up business. My team had won a start-up competition a few years back. Our company was a web-based enterprise, but it failed for several reasons.

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Recent ROE Improvement Has Mainly Come from Higher Net Margin

By Become a Better Investor | Jan 29, 2019
Global: Falling trend in profitability at constant net margin | #ChartOfTheDay

Chart of the Day: Looking at all non-financial companies and kept the net margin at the long-term average. The analysis shows us that the recent increase in ROE has come from the net margin.

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Confessions of a Crypto Lemming

By Andrew Stotz | Jan 28, 2019

My Worst Investment Ever: My worst investment was when I jumped on the crypto-currency bandwagon. Even though I made some money out of it, I would personally consider it to be the worst investment I have made so far.

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Don’t get Caught Up in the Madness

By Become a Better Investor | Jan 25, 2019
Top 5 of the Week of January 21 - Become a #betterinvestor

In our Top 5 this week, we examine retirement finance, ask if active alpha can cover taxes, and discuss the importance of market regimes. All this and more…

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High Cash Conversion Cycle Means Companies Are Vulnerable

By Become a Better Investor | Jan 24, 2019
Global: Cash conversion cycle shows vulnerability to a credit crunch and/or economic slowdown | #ChartOfTheDay

Chart of the Day: Looking at all non-financial companies globally, grouped by size. Cash conversion cycle (CCC) has risen for all companies following the GFC. The high CCC means that companies are more vulnerable to a credit crunch and/or economic slowdown.

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Investor Paid the High Cost of Inertia

By Andrew Stotz | Jan 23, 2019

My Worst Investment Ever: If something is great, and you use it and love it, and everyone loves it, maybe you should invest in it. I started using Amazon.com early on, say around 1998.

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Good Profit Margin at One of the Largest Oil Palm Players in Indonesia

By Become a Better Investor | Jan 22, 2019

PT Astra Agro Lestari Tbk is one of the largest oil palm players in Indonesia with an extensive operational experience spanning over more than 30 years. Profitable Growth has mainly ranked above average, and in the past 12 months, AALI ranked in the top half among 600 large Consumer Staples companies worldwide.

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Lotte Shopping Has Ranked the Worst Since 2017

By Become a Better Investor | Jan 21, 2019

Lotte Shopping Company Limited generates 91% of revenue in Korea, has expanded overseas to China, Vietnam, Indonesia, and Russia, and the main revenue of the company is contributed by Hypermarkets. Profitable Growth has ranked among the worst over the years.

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