Buffett, Bitcoin, and a Lesson From 1900

90 seconds is plenty of time to tell the story of a stock. If you’re prepared to invest in a company, then you ought to be able to explain why in simple language that a fifth grader could understand, and quickly enough so the fifth grader won’t get bored. – Peter Lynch Buffett Wisdom There’s […]

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What Investors Can Learn From Sir Isaac Newton

Tim Price is one of the top investment strategists in the world. He’s co-manager of the VT Price Value Portfolio and author of Investing through the Looking Glass: A Rational Guide to Irrational Financial Markets. In one of his letters last year, he talked about Sir Isaac Newton and the South Sea Bubble. The lesson […]

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“I Hope I’m Making a Bad Buy”

Yesterday was a lesson from Barton Biggs on how important it is to “listen to the market crowd.” Today, we continue learning from his book, Wealth, War & Wisdom. As a reminder, it’s about what happened to stock markets and wealth during World War II. Biggs calls WW2 “the most excruciating, destructive global disaster in […]

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It’s Not Enough to Be Contrarian

Barton Biggs was a guru hedge fund manager and global investment strategist. He was also a serious student of World War II. His book Wealth, War & Wisdom is about what happened to stock markets and wealth during WW2. Today is part one of a two-part series on the takeaways from this book. This is […]

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Why Price and Value Are So Important

It’s important to understand price and value. As Warren Buffett says, “Price is what you pay. Value is what you get.” But what does that even mean? Well, it means that the price you pay and the value you get are not always the same. As I’ve explained before, the price you pay for an […]

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The Dollar Doesn’t Mix Well With Oil

The dollar doesn’t mix well with oil. In Wall St. speak it means they are inversely correlated. Meaning one drops when the other one rises. Here’s a chart showing price action of the dollar and oil since 1986… As you can see, when the dollar goes up, the price of oil goes down. Since June, […]

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How to Become a “Financial Winner”

The past few days have been about finding value. What is an investor supposed to do when the stock market is expensive? Or when bonds are expensive? Or when real estate or commodities crash? Successful investing is about understanding price and value. As Richard Russell says, “The wealthy investor tends to be an expert on […]

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Another Gold Chart…

It’s not easy to find cheap assets to buy right now… Stocks have been in bull market mode for several years. One thing that is flashing value is the gold-to-silver ETF ratio. Today, I’m going to walk you through another gold chart. It’s just another way to compare how cheap one asset class is relative […]

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How to Know When to Buy Gold Stocks

Two key indicators are telling us something important… Last week, I talked about how corporate profits as a percentage of gross domestic product (or GDP) and stock values as a percentage of GDP are diverging. The former has been declining for several years now. The latter is approaching all-time highs. It’s not sustainable. Stock values […]

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Four Calling Charts…

It’s a good time to look at the big picture as 2017 comes to an end. In other words, what are the indicators telling us? Today, I’m going to talk about four charts. The bottom line is this… Investors need to be more cautious and more selective in what they buy. Like I explained a […]

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