Europe, Energy, ESG: Observations from the road | EP126
Some of the main challenges facing the continent, what we gleaned from visiting over 45 companies, and ESG considerations that are front of mind for major European investment firms.
The Art of Boring™ was created for curious and passionate investors. We share strategies, frameworks, and insights to help readers and listeners make better investment decisions. Our aim? To provide some bottom-up, long-term investing signal to cut through the short-term noise.
Some of the main challenges facing the continent, what we gleaned from visiting over 45 companies, and ESG considerations that are front of mind for major European investment firms.
A review of last quarter, the major themes and takeaways from 2022, and what’s on the horizon for the new year.
It’s inflation’s second punch that can deliver a blow that investors may not be expecting.
What investors can learn from the S-curves of technologies both old and new.
'Twas the week before Christmas, thus time to review—the economic story of 2022.
What we think about the newly proposed tax on share buybacks in Canada, a balanced take on the energy theme, and where we’ve trimmed, exited, and added in the portfolio.
How do investors figure out what a company is worth? (Especially in a higher inflationary and interest rate environment?)
A deep dive—right to the atomic level—of how semiconductors work and the potential implications for the industry when Moore’s Law comes to an end.
The deglobalization shift, long-term opportunities we’re seeing in utilities, and what’s interesting about gravel.
We tend to think of our world in linear terms, where the output of a system is proportional and directly correlated to its inputs.
The “Swiss cheese” mental model for risk management, why we initiated in Moderna, and how to test if you have a variant perception from the broader market.
Market swings, central bank moves, and rising interest rates. A look at Q3.
What makes the U.S. mid cap investable universe unique, some key learnings since the strategy’s launch, and how inflation can be a “positive” for wealth-creating companies.
Some of the main challenges facing the continent, what we gleaned from visiting over 45 companies, and ESG considerations that are front of mind for major European investment firms.
A review of last quarter, the major themes and takeaways from 2022, and what’s on the horizon for the new year.
It’s inflation’s second punch that can deliver a blow that investors may not be expecting.
What investors can learn from the S-curves of technologies both old and new.
'Twas the week before Christmas, thus time to review—the economic story of 2022.
What we think about the newly proposed tax on share buybacks in Canada, a balanced take on the energy theme, and where we’ve trimmed, exited, and added in the portfolio.
How do investors figure out what a company is worth? (Especially in a higher inflationary and interest rate environment?)
A deep dive—right to the atomic level—of how semiconductors work and the potential implications for the industry when Moore’s Law comes to an end.
The deglobalization shift, long-term opportunities we’re seeing in utilities, and what’s interesting about gravel.
We tend to think of our world in linear terms, where the output of a system is proportional and directly correlated to its inputs.
The “Swiss cheese” mental model for risk management, why we initiated in Moderna, and how to test if you have a variant perception from the broader market.
Market swings, central bank moves, and rising interest rates. A look at Q3.
What makes the U.S. mid cap investable universe unique, some key learnings since the strategy’s launch, and how inflation can be a “positive” for wealth-creating companies.
It is much more valuable to have a probabilistic risk evaluation process.
This week we learned about e-krona, a digital currency in Sweden; the lasting impacts of Black Monday on Wall Street; how McRib availability can affect S&P 500 returns (hint: it can’t) and appreciated a few wise reminders on what to do when “things get wild” in the markets.
We know we can’t predict the future (read: unknowns), but we can account for the likelihood of some scenarios.
To be sure, there are many reasons a company may prefer to turn to private investors over more traditional public markets, but as more companies choose private funding when they need to raise capital, what are the implications for investors in public markets?
Last week, Morningstar interviewed international equity portfolio manager David Ragan about finding resilient stocks in international markets during turbulent times.
Our reading list this week considers factors leading to the next market correction; stock-based compensation; golfing economists; and the pitfalls of generalization.
How can a business continue to grow while still retaining the internal characteristics that helped contribute to its past success?
A reminder to focus on the long-term; a look at growing corporate debt levels; a helpful explanation of stock buy backs, and a tip to improve the workplace. It’s been an illuminating week.
Canadian insurance companies are no longer just in the business of selling insurance to Canadians. They function more like financial conglomerates, and that, for investors, is potentially a good thing.
This week we admired some exemplary examples of CEO annual letters; raised our eyebrows at the remarkable effects of trade wars; reaffirmed our belief that language matters; and despaired at nefarious online trading platforms.
Given how often “defensive” enters into the investing lexicon and that it can mean different things to different people, aiming for a greater degree of precision in its definition may help to reduce misunderstanding or generalized historical bias.
Twenty ways to make mistakes with money, the history of monetary innovation, untangling misconceptions around interest rates, and the truth (data) about the creativity of pop songs. It was (not) a boring week!
It is much more valuable to have a probabilistic risk evaluation process.
This week we learned about e-krona, a digital currency in Sweden; the lasting impacts of Black Monday on Wall Street; how McRib availability can affect S&P 500 returns (hint: it can’t) and appreciated a few wise reminders on what to do when “things get wild” in the markets.
We know we can’t predict the future (read: unknowns), but we can account for the likelihood of some scenarios.
To be sure, there are many reasons a company may prefer to turn to private investors over more traditional public markets, but as more companies choose private funding when they need to raise capital, what are the implications for investors in public markets?
Last week, Morningstar interviewed international equity portfolio manager David Ragan about finding resilient stocks in international markets during turbulent times.
Our reading list this week considers factors leading to the next market correction; stock-based compensation; golfing economists; and the pitfalls of generalization.
How can a business continue to grow while still retaining the internal characteristics that helped contribute to its past success?
A reminder to focus on the long-term; a look at growing corporate debt levels; a helpful explanation of stock buy backs, and a tip to improve the workplace. It’s been an illuminating week.
Canadian insurance companies are no longer just in the business of selling insurance to Canadians. They function more like financial conglomerates, and that, for investors, is potentially a good thing.
This week we admired some exemplary examples of CEO annual letters; raised our eyebrows at the remarkable effects of trade wars; reaffirmed our belief that language matters; and despaired at nefarious online trading platforms.
Given how often “defensive” enters into the investing lexicon and that it can mean different things to different people, aiming for a greater degree of precision in its definition may help to reduce misunderstanding or generalized historical bias.
Twenty ways to make mistakes with money, the history of monetary innovation, untangling misconceptions around interest rates, and the truth (data) about the creativity of pop songs. It was (not) a boring week!
Inflation, interest rates, the valuation correction, bias creep, and “sticking to our knitting.” A full dive into Q2.
CIO Paul Moroz unpacks the foundational components to better decision making for investing, business, and life.
Lead Portfolio Manager, Crista Caughlin, on what’s happening in bond markets, a look at inflation and interest rates, and the key scenarios we’re monitoring.
Opportunities and risks we’re seeing in energy, rail, and financials; why we exited Shopify; and a few team learnings.
What DevOps is and why it’s a theme with investment potential.
On building a “global investment franchise” and balancing the trade-offs between creativity, efficiency, and process to build a consistent environment for better investment decisions.
Russia, the potential parallels to Taiwan and China, and macro to micro portfolio considerations in an inflationary environment.
CIO Paul Moroz shares his take on what’s happening in the markets, some of the underlying factors behind recent performance, and a reminder that the wheels of capitalism will continue to turn.
Portfolio Managers Grayson Witcher and Colin Wong share market observations, industries where fundamentals are shifting, and a few recent additions to the portfolio.
Jim Hall (chair, head of our risk management process, and portfolio manager) shares his overall observations on prevailing macroeconomic risks—and the effects on our process and the EAFE large cap portfolio.
How we achieve balance in the portfolio, manage hubris, and have accounted for inflation risk in our investment process.
Chief Investment Officer, Paul Moroz, reflects on notable learnings from 2021 and how time and experience still clarify the most in investing—and life.
Inflation, interest rates, the valuation correction, bias creep, and “sticking to our knitting.” A full dive into Q2.
CIO Paul Moroz unpacks the foundational components to better decision making for investing, business, and life.
Lead Portfolio Manager, Crista Caughlin, on what’s happening in bond markets, a look at inflation and interest rates, and the key scenarios we’re monitoring.
Opportunities and risks we’re seeing in energy, rail, and financials; why we exited Shopify; and a few team learnings.
What DevOps is and why it’s a theme with investment potential.
On building a “global investment franchise” and balancing the trade-offs between creativity, efficiency, and process to build a consistent environment for better investment decisions.
Russia, the potential parallels to Taiwan and China, and macro to micro portfolio considerations in an inflationary environment.
CIO Paul Moroz shares his take on what’s happening in the markets, some of the underlying factors behind recent performance, and a reminder that the wheels of capitalism will continue to turn.
Portfolio Managers Grayson Witcher and Colin Wong share market observations, industries where fundamentals are shifting, and a few recent additions to the portfolio.
Jim Hall (chair, head of our risk management process, and portfolio manager) shares his overall observations on prevailing macroeconomic risks—and the effects on our process and the EAFE large cap portfolio.
How we achieve balance in the portfolio, manage hubris, and have accounted for inflation risk in our investment process.
Chief Investment Officer, Paul Moroz, reflects on notable learnings from 2021 and how time and experience still clarify the most in investing—and life.