Warren Buffett: Just looking at prices is gambling, not investing

Warren Buffett: Just looking at prices is gambling, not investing

Posted Leave a commentPosted in Investing, Web finds

Both the rise in cryptocurrencies and the volatility of stock and bond prices last month have led to many questions about whether value stocks are still a good place to invest.  Growth stocks have risen in price far faster than value stocks over the past several years, and especially last year, which was marked by […]

Stocks vs Real Estate: Residential Property prices in 10 countries according to BIS

Investing in Property vs Investing in Stocks: the BIS Data on 10 Countries’ Residential Real Estate Markets

Posted Leave a commentPosted in Investing

Last month I posted a chart on how stock prices rose 7x more than house prices over the 20th century, which although backward looking, provides some idea of why investors should consider allocating as much of their wealth to stocks as to investment real estate. Here I expand the chart with data from the BIS […]

Be greedy when others are fearful - Facebook memory of my opportunity to buy Citigroup cheap at $1.16

Be greedy when others are fearful: Facebook reminder of the chance to buy Citigroup at $1.16

Posted Leave a commentPosted in Investing

Facebook memories rarely remind me as dramatically as this one what opportunities to multiply money can look like.  This was a clear example of “be greedy when others are fearful” that I admit I myself (regrettably) did not take advantage of.  At that time, Citigroup was priced for a very high likelihood it might go […]

Vanguard Stock Mutual Funds PB vs ROE ratios March 2018

Top Vanguard Mutual Funds for Enhanced Asset Allocation

Posted Leave a commentPosted in Investing

Vanguard is synonymous with low-cost, passive investing.  Here I present some charts showing some metrics that can be used to enhance an asset allocation of the top Vanguard mutual funds even among these broadly diversified, passive funds. Despite my disagreements with him, Jack Bogle remains one of the foundational figures of today’s investing world I […]

What do the wealthy invest in?

What do the wealthy invest in? More stocks than funds or properties, according to the IRS

Posted Leave a commentPosted in Investing

When considering which asset classes to invest in, it makes sense to ask “what do the wealthy invest in?”. First generation American millionaires tend to earn more of their wealth from their investments than directly from their salaries, and so one guide for deciding which of the many different types of investments best build wealth […]

When the market falls, don't sell your stocks or your house, but look for rising rents/earnings

When the market falls 10%, you don’t sell your house or your stocks, but look for rising rents/earnings at better prices

Posted Leave a commentPosted in Investing

Over the past week, stock and bond markets around the world have fallen more than many people remember seeing in years.  After an amazingly smooth ride up in 2017, when the S&P 500 index rose almost 20% without declining more than 2% on any day that year, investors were suddenly reminded over the past week […]

Investing in Stocks vs Property, Yale data

Investing in Stocks vs Property, Stocks Rose 7x More than Real Estate Over 125 Years of Yale Data

Posted Leave a commentPosted in Investing

I am often asked about investing in stocks vs property, as owning physical residential real estate is an understandably popular investment choice in Hong Kong and other major cities.  Urban professionals have seen apartment prices, and their rents, rise faster than inflation and almost as quickly as their salaries, and there is a level of […]

How to invest a bonus

How to invest a bonus

Posted Leave a commentPosted in Investing, Personal finance

In January and February many firms, especially banks, give out annual bonuses to employees, which in some cases make up a large percentage of the employee’s annual earnings.  After years like 2017, when the economy and global stock markets have done exceptionally well, I am naturally asked, more than in most years, about how to […]

G for got it - what I hope a 10 year old child will say after buying their 10 first stocks

10 first stocks to buy a 10-year old to start investing early

Posted Leave a commentPosted in Education, Investing, Personal finance

My latest article describes how to choose the 10 first stocks to buy a 10-year old, and why I think it’s important to start kids investing in individual companies rather than mutual funds from an early age. As I disclose: I bought Coca-cola for my older child and PepsiCo for my younger child because they […]

Currencies for the long run, part 3: Asia ex-Japan

Currencies for the Long Run, Part 3: 6 Asia ex-Japan Currencies that have declined 40-90% since 1980

Posted Leave a commentPosted in Investing

Following part 1 and part 2 of this series “Currencies for the long run”, here is a chart showing the long-term trend since 1980 of 6 major Asian currencies: The Chinese Yuan Renminbi, Indian Rupee, Philippine Peso, Thai Baht, Malaysian Ringgit, and South Korean Won.  As the previous two posts showed different trends in relatively […]