"I love Musing Zebra - On Thinking Well in Market, and in Life"

2022-05-14 13:41:30

Skip to contentMusing ZebraOn Thinking Well in Market, and in Life MenuAboutBooksContactGet Started 3 Things to Consider Before Buying A Moat Capital Allocation, Compounder, Moat, ValuationNot all moats are the same. Some moats are wider but not as durable, while others might be durable but have little growth opportunities. The 3 things that determine the attractiveness of a moat and how much the business is worth are its return on capital, durability, and reinvestment opportunities. Return on Capital Return on […] 3 Types of Capital Allocation Moats Analysis, Capital Allocation, Compounder, MoatI previously wrote about the 7 types of moats of quality companies. Another way to look at moats is from a capital allocation perspective. A few years ago, Connor Leonard from IMC made a wonderful presentation on 3 types of capital allocation moats: Legacy moat Reinvestment moat Capital-light compounder Legacy moat is companies that earn […] 10 Takeaways from Investing for Growth Books, Decision Making, Investment Process, Portfolio, StrategyInvesting for Growth is a compilation of Fundsmith’s annual letters and articles Terry Smith wrote for the Financial Times. Just a bit of background, Fundsmith is a UK-based fund that was founded by Terry Smith with a strategy focused on investing only in high quality businesses. Fundsmith has a track record of 18.1% p.a since […] How to Pick a Car Decision Making, Filter, Get started, Investment Process, ProcessImagine you want a car. What car should you pick? First, you have to know why you want a car right. You probably also have a few criteria like: What’s my budget? What type of car? i.e sedan, SUV, etc. What’s my preference for make and model? Should I get brand new or second-hand? Automatic […] One Easy Way to Improve Your Judgment Analysis, Decision Making, Expected Value, ProbabilityThe mistake we often make when valuing a stock is overestimating the business growth potential, how much free cash flow it can generate, and so on. We extrapolate a spurt of excellent performance caused by temporary changes such as a brief supply and demand tailwind into the distant future. Or sometimes, we just fail to […] 10 Best Books on Risk Books, Environment, Psychology, RiskWhen Genius Failed: The Rise and Collapse of Long-Term Capital Management by Roger Lowenstein Long-Term Capital Management’s demise comes from a mix of how their perfect models quantify risks in an uncertain world, a sense of infallibility, 30 to 1 leverage, illiquid trades, and basic greed. It is like betting on the outcome of a […] Posts navigationOlder posts Member Exclusive Contents (Free)Most PopularA Short Guide to Stock Investing5 Years of ReflectionThe 7 Moats of Quality CompaniesHow Much Should I Put in A Stock?When Do You Sell?Books for 2017What Kind of Buckets Do You Have?What Is True In Investing Over The Long-Term?Books for 2019Recent Posts3 Things to Consider Before Buying A Moat3 Types of Capital Allocation Moats10 Takeaways from Investing for GrowthHow to Pick a CarOne Easy Way to Improve Your Judgment Proudly powered by WordPress | Theme: lucienne by ThemeFurnace.