Quarterly update | Q3 2021 | EP96
Inflation risk, slowing global growth, and the un-globalization trend—a review of Q3.
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.
Inflation risk, slowing global growth, and the un-globalization trend—a review of Q3.
Why we launched—our interest and history in U.S. mid cap stocks—potential benefits of the asset class, and a few holding examples.
John Kay’s “simplicity, modularity, redundancy” risk framework elements and our ongoing risk management process improvements.
Mispricing patterns we’re seeing in the market; where we’re finding an edge; improving our management team assessment techniques.
A real time risk management discussion addressing the increasing regulatory pressures currently impacting a wide range of businesses in China.
The tremendous IPO activity led by tech companies; our evaluation process for a company prior to it becoming public; and recent matrix meeting outcomes for the portfolio.
Philip Fisher’s continuous relevance; determining fair value ranges for blitzscalers; and potentially overlooked opportunities in Russia and Kazakhstan.
A review of the quarter: the high-level themes have continued.
CIO Paul Moroz walks us through his “best practices” portfolio construction checklist.
We explore the evolution of Modern Monetary Theory (MMT) and the notable economic ideas on which it is based. We highlight some notable criticisms and discuss implications of MMT for economic policy and financial markets. Our purpose is less focused on opining whether MMT is fundamentally sound, but rather aimed at understanding its development and how the ground may shift if indeed MMT-based policies are more widely embraced.
Opening the Pandora’s box of Bitcoin, societal trust, and why investors might not, but need to, fully understand the technology.
I’ve been revisiting Philip Fisher’s Common Stocks and Uncommon Profits recently. Scanning the opportunity set in emerging markets, I’ve been trying to imagine what Fisher would have made of the current investment landscape.
Inflation risk, slowing global growth, and the un-globalization trend—a review of Q3.
Why we launched—our interest and history in U.S. mid cap stocks—potential benefits of the asset class, and a few holding examples.
John Kay’s “simplicity, modularity, redundancy” risk framework elements and our ongoing risk management process improvements.
Mispricing patterns we’re seeing in the market; where we’re finding an edge; improving our management team assessment techniques.
A real time risk management discussion addressing the increasing regulatory pressures currently impacting a wide range of businesses in China.
The tremendous IPO activity led by tech companies; our evaluation process for a company prior to it becoming public; and recent matrix meeting outcomes for the portfolio.
Philip Fisher’s continuous relevance; determining fair value ranges for blitzscalers; and potentially overlooked opportunities in Russia and Kazakhstan.
A review of the quarter: the high-level themes have continued.
CIO Paul Moroz walks us through his “best practices” portfolio construction checklist.
We explore the evolution of Modern Monetary Theory (MMT) and the notable economic ideas on which it is based. We highlight some notable criticisms and discuss implications of MMT for economic policy and financial markets. Our purpose is less focused on opining whether MMT is fundamentally sound, but rather aimed at understanding its development and how the ground may shift if indeed MMT-based policies are more widely embraced.
Opening the Pandora’s box of Bitcoin, societal trust, and why investors might not, but need to, fully understand the technology.
I’ve been revisiting Philip Fisher’s Common Stocks and Uncommon Profits recently. Scanning the opportunity set in emerging markets, I’ve been trying to imagine what Fisher would have made of the current investment landscape.
Our team comes across hundreds of weird and wonderful reads in our daily research. Below are the handful that stood out for us last month.
The inefficient marketplace of ideas
Increasing our ability to detect falsehoods can make us better decision makers.
Jocko’s acceptance of responsibility in that moment is a good example of a leader taking extreme ownership. It is the kind of action in which we can all find a little inspiration.
Our team comes across hundreds of weird and wonderful reads in our daily research. Below are the handful that stood out for us last month.
Japan’s crash in 1989 and its subsequent economic woes have provided policymakers and investors with many cautionary tales, but one in particular is usually overlooked.
The destruction and then reintroduction of the wolves in Yellowstone serves as an important cautionary tale about our limited understanding of complex, adaptive systems.
Like most people, Terry and Linda had seen The Price Is Right. But their approach was not going to be luck; it was going to be skill.
Our team comes across hundreds of weird and wonderful reads in our daily research. Below are the handful that stood out for us this month.
Sometimes no amount of preparation (or “book study”) can educate you as much as seeing it with your own eyes.
One of the core tenets of Jackson’s approach to leadership is allowing individuals to discover their own destiny by forcing them to accept individual responsibility.
If recent events in China teach us anything, it is that there is a difference between control and resilience. Historically, when governments try this hard to control markets, the control they seek has already been lost.
Our team comes across hundreds of weird and wonderful reads in our daily research. Below are the handful that stood out for us last month.
The inefficient marketplace of ideas
Increasing our ability to detect falsehoods can make us better decision makers.
Jocko’s acceptance of responsibility in that moment is a good example of a leader taking extreme ownership. It is the kind of action in which we can all find a little inspiration.
Our team comes across hundreds of weird and wonderful reads in our daily research. Below are the handful that stood out for us last month.
Japan’s crash in 1989 and its subsequent economic woes have provided policymakers and investors with many cautionary tales, but one in particular is usually overlooked.
The destruction and then reintroduction of the wolves in Yellowstone serves as an important cautionary tale about our limited understanding of complex, adaptive systems.
Like most people, Terry and Linda had seen The Price Is Right. But their approach was not going to be luck; it was going to be skill.
Our team comes across hundreds of weird and wonderful reads in our daily research. Below are the handful that stood out for us this month.
Sometimes no amount of preparation (or “book study”) can educate you as much as seeing it with your own eyes.
One of the core tenets of Jackson’s approach to leadership is allowing individuals to discover their own destiny by forcing them to accept individual responsibility.
If recent events in China teach us anything, it is that there is a difference between control and resilience. Historically, when governments try this hard to control markets, the control they seek has already been lost.
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.
What investors can learn from the S-curves of technologies both old and new.
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.
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.
Why small caps may zig while large caps zag, the advantage of businesses that sell scarce skills (CBIZ, Insperity, RS Group), and why eyewear retail is harder than it…looks.
The impacts of inflation, interest rates, and sharp currency movements on the portfolio, and the importance of leaning in to process and keeping a long-term perspective.
The team debates the thesis that renewables are becoming “cheaper” than traditional energy sources, unpacks why the ultimate cost to the end consumer shouldn’t be missing from the conversation, and delves into the investment implications.
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.
What investors can learn from the S-curves of technologies both old and new.
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.
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.
Why small caps may zig while large caps zag, the advantage of businesses that sell scarce skills (CBIZ, Insperity, RS Group), and why eyewear retail is harder than it…looks.
The impacts of inflation, interest rates, and sharp currency movements on the portfolio, and the importance of leaning in to process and keeping a long-term perspective.
The team debates the thesis that renewables are becoming “cheaper” than traditional energy sources, unpacks why the ultimate cost to the end consumer shouldn’t be missing from the conversation, and delves into the investment implications.