"The less the prudence with which others conduct their affairs, the greater the prudence with which we must conduct our own." -- Warren Buffett, on why Berkshire made few acquisitions in 2017. Investing

Between 2015 and 2017 I managed to find some really good investment (gambling would be a better word maybe) possibilities just by lurking a well known anonymous board called /biz/ and reading some news.

Some of them include:

lithium etf: NYSEARCA: LIT in 2016 January, some lithium companies were mentioned end of 2015 like ASX: GXY which had made really nice returns.
Marihuana legalization in Canada: various small companies were mentioned back in 2016, most of them have made 800 - 1000% returns since then.
NVIDIA: Nvidia Cards being used for:
- Monte carlo simulations (banking Products)
- AI / Self driving cars
- Crypto mining I knew that NVIDIA is a nice gamble back in March 2016
Crypto: Got into crypto in 2014 with a very low ammount of money as I thought on it as pure gamble

My problem this year is that I do not seem to find similar possibilities like I found 1-2 years ago. It is mostly because the board I used to lurk got filled with scammers advertising some useless cryptocoin so basically the intelligent people left that board.

I am looking now for any other source / forum / board / people whatever to be informed early about possibilities like the ones I mentioned above. I do not care about short term gains or options or anything WSB related.

So I made this topic to:

Discuss if there is anything that is not mainstream yet, Institutional Investors have not discovered, or do not believe in it
Find people who have the same interest as me and know that this is basically not investing but more gambling
Find some future "megatrends" which are already covered by ETFs but not well known yet

In case I made the topic in the wrong forum I would be happy if someone points me to the right forum. In case the name of the board is not allowed to be mentioned here I can remove it of course

/edit: To give you an idea what I am going to research now is as follows: I have heard that if a drug company passes the phase 2 test for its newest product then there is a high chance (60% ?) that the phase 3 test will also be passed. I am trying to find out how the price of such companies changes after a successful phase 2 test and whether there is really a high chance for the phase 3 test to be successful. Also what kind of drugs are seen as very positive by the market.

submitted by /u/newdaynewuser
[link] [comments]

Good book in learning how to read financial statements for investment

Posted: 24 Feb 2018 11:21 PM PST

I want to find a good book in teaching me the basic in reading finanial statements and how to invest based on it. When I try to go though companies 10k. There are so many information that I don't understand.

submitted by /u/lotsofquestions1223
[link] [comments]

Best podcast on passive/low cost investing?

Posted: 25 Feb 2018 02:57 AM PST

I have to convince someone to move funds from underperforming mutual funds with 3.5% expensive ratios to some more decent ones.

What are really good, easy listening podcasts about low cost or passive investing strategies?

Example: https://castbox.fm/vb/66774580?_t=30%3A07

Thanks!

submitted by /u/flofficial
[link] [comments]

What is your best highest dividend stock?

Posted: 24 Feb 2018 05:55 AM PST

By best I mean, performing well in terms of returns, as well as carries a high dividend yield

submitted by /u/PHARMDRX
[link] [comments]

Brookfield Asset Management Selling Assets to Build War Chest for Next Downturn (somewhat old news)

Posted: 24 Feb 2018 10:03 AM PST

https://www.bloomberg.com/news/articles/2018-02-15/brookfield-selling-assets-to-build-war-chest-for-next-downturn

Brookfield Asset Management Inc., Canada's largest alternative asset manager, said it's selling off assets so that it will be ready to pounce in the next down market.

The Toronto-based firm sold about $12 billion in mature assets in 2017 and said it will continue to do so this year. Brookfield, which has $285 billion under management, said it has more than $25 billion in core liquidity and dry powder in its private funds.

"We see no signs of underlying economic issues, despite the U.S. economy being nine years into this expansion," Bruce Flatt, Brookfield chief executive officer, said in a letter to shareholders. "While this economic cycle shows no immediate signs of ending, it is clearly in its mid- to later-stages of an elongated expansion, and so we are being cautious, preparing for less robust times."

He said there was cause for caution with equity markets hitting record highs, government bonds historically expensive, corporate and high-yield spreads at record lows, and "bitcoin mania" taking hold, creating a market capitalization of $500 billion with "as far as we can tell, zero intrinsic value."

"An Italian renaissance painting was recently purchased for over $500 million, an all-time high for the sale of a painting," he said. "These all make us cautious, while still continuing to invest our capital."

TLDR: BAM got spooked by "expensive" stocks and bonds, Bitcoin mania, and pricy paintings. This article came out before Berkshire Hathaway announced that they have about $116 billion in cash.

Disclosure: My largest holding of individual stocks is BRK.B, BAM, JNJ, NEP, and PEGI (currently downsizing). Smaller holdings consist of V, UL and RDS.B. Most of the money is in index funds.

submitted by /u/COMPUTER1313
[link] [comments]

Make your picks.... What will be Berkshires next elephant?

Posted: 24 Feb 2018 08:27 AM PST

I have no idea but am interested in the predictions.

submitted by /u/SteveFIrwin
[link] [comments]

How do investors receive dividends? and a few other quick questions

Posted: 24 Feb 2018 11:48 AM PST

I've taken multiple investing classes and have spent a lot of time researching during my time in college. That being said, I don't actually know how I should start.

I have a few questions that I hope you guys might be able to help me with:

What should I look for in a brokerage firm? (Do you personally use it and why?)

How do company's pay the dividends they owe you? Do they go to your bank or are they credited somewhere?

What percentage of my income do you suggest that I try to invest/set aside for retirement?

submitted by /u/j2100874515
[link] [comments]

Latest Berkshire Hathaway Shareholder Letter

Posted: 24 Feb 2018 05:08 AM PST

http://www.berkshirehathaway.com/letters/2017ltr.pdf

submitted by /u/pscoutou
[link] [comments]

How many annual reports do you read?

Posted: 25 Feb 2018 01:23 AM PST

Also, does the price(s) make sense based on fundamentals and/or were they forcasted accurately?

submitted by /u/Send_StockPicks
[link] [comments]

AI Finance Startup Numerai may be inflating user figures by creating fake accounts

Posted: 25 Feb 2018 01:07 AM PST

Many University of Minnesota students received a confirmation email this week despite never hearing about the startup as detailed in https://www.reddit.com/r/uofmn/comments/7zy27c/email_from_numerai/ I can personally confirm that this happened as well. Have there been instances of such behavior by companies before? It reminds me of the 3rd season of Silicon Valley.

submitted by /u/totes-mcgote
[link] [comments]

My stoned theory about Snap.

Posted: 25 Feb 2018 12:29 AM PST

So I got stoned tonight and something came to me. It's probably just my stoned brain having crazy ideas so don't take it too seriously. What if Snapchat purposely created a controversial change to their UI because it would generate curiosity and people that don't already use it would try it out?

submitted by /u/LonzoBust2
[link] [comments]

Brazil grabs bigger share of China soybean imports from U.S. in January - customs

Posted: 24 Feb 2018 07:13 PM PST

https://www.reuters.com/article/us-china-economy-trade-grains/brazil-grabs-bigger-share-of-china-soybean-imports-from-u-s-in-january-customs-idUSKCN1G80A4

submitted by /u/DOW_30K
[link] [comments]

A2 Milk’s astonishing $10 billion value

Posted: 24 Feb 2018 10:20 PM PST

https://thespinoff.co.nz/business/23-02-2018/ten-numbers-that-tell-the-story-of-a2-milks-astonishing-10-billion-value/

Has anyone here heard of or is invested in this incredibly fast growing company? It's returned in excess of 2000% for shareholders over the past five years and it now has the highest market cap of any public New Zealand company.

Growth figures: $ATM.NZ ($ACOPF OTC)

+70% Revenue YoY

+123% EBITDA YoY

+150% NPAT YoY

They also have zero debt and have just signed a huge deal with NZ's biggest dairy exporter Fonterra which will give them much needed milk supply. Pretty much as soon as their infant formula goes on the shelf in AUS and China it's sold out. They now have a 5% market penetration of China's infant formula market and looking to expand this quickly as they gain more supply.

I'm curious to hear the thoughts of overseas investors.

Latest half yearly result: http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/ATM/314502/274823.pdf

Disclaimer: Holding

submitted by /u/allfromacell
[link] [comments]

Question about retirement investing strategy with limited funds per month.

Posted: 24 Feb 2018 05:26 PM PST

I am at a stage in my life where available cash to invest is harder to find per month. $2000 a year, which isn't much but I need to make that work for the next few years.

My current strategy has been putting money into ETFs and hopefully long term bargain value/growth holds like GLW. Searching for bargains is exciting but also depressing knowing I missed the boat on holding considerable shares of blue chip stocks.

I guess my question is if I am going about this wrong. Should I be saving money to invest in things like Amazon or Netflix or are ETFs with lower entry costs tracking these stocks good enough?

submitted by /u/armorkingII
[link] [comments]

How do I create a DCF for a cyclical company?

Posted: 24 Feb 2018 11:20 AM PST

Title. I'm trying to create a cyclical DCF for Micron Technology but I have no clue how to project values given its historical data and the industry's trends. I would really appreciate some help!

submitted by /u/TheCrisping
[link] [comments]

DAL, MU, and MSFT, thoughts?

Posted: 24 Feb 2018 07:49 PM PST

I just bought DAL, MU, and MSFT. Anyone see red flags with these stocks?

submitted by /u/lotsofquestions1223
[link] [comments]

Has anyone used Fidelity CDs?

Posted: 24 Feb 2018 10:16 AM PST

We met our 'onhand cash' goal but want to get more than the .25% interest with our bank account. I'm looking at taking $10K and putting into CDs, $5K into a 2 year and $5K into either 6 or 12 months. We already have investments with Fidelity and their CDs earn better interest than our bank. It is my understanding that you buy other banks' CDs through this process so I am only targeting banks that I recognize the names of. Has anyone else invested in a Fidelity CD? What was your experience?

submitted by /u/Allforthe2nd
[link] [comments]

Non-bank mortgage lenders taking on riskier mortgages while traditional banks shy away

Posted: 24 Feb 2018 09:43 AM PST

https://www.bloomberg.com/view/articles/2018-02-23/mortgage-loans-the-market-is-moving-into-the-shadows

Well, much of the regulation doesn't apply to non-bank lenders, which typically originate mortgages and quickly sell them onward to be packaged into securities for investors. These "shadow banks" don't take deposits, don't have much capital, and are usually overseen by state banking authorities, which tend to be less stringent. They are also considerably more aggressive than their bank counterparts.

By operating with less capital, they can reap very large returns in good times. In bad times, however, they might not have the capacity to withstand losses or deal with the servicing burden created by widespread delinquencies. As a result, a large swathe of the country's lending and servicing system could implode when the next crisis hits.

The shift has been even more extreme in mortgage servicing. Non-banks now service about 51 percent of all loans packaged into new Freddie Mac securities, according to mortgage analytics firm Recursion Co. That's more than double the share of just five years ago. For securitized FHA loans, the share stands at a staggering 83 percent. Again, banks are leaving the business: Last year, CitiMortgage announced it would exit by the end of this year, transferring the servicing rights for about 780,000 mortgages.

The average FICO score at origination stood at 730 at the end of 2017, down from 750 five years earlier. For loans guaranteed by the Federal Housing Administration -- an area where the non-banks' share is greatest -- the average FICO score has fallen to 680.

And an article from last year mentioned about the rise of non-bank mortgage lenders such as Quicken Loans: https://www.washingtonpost.com/realestate/the-mortgage-market-is-now-dominated-by-nonbank-lenders/2017/02/22/9c6bf5fc-d1f5-11e6-a783-cd3fa950f2fd_story.html?utm_term=.6b6794e2b5a0

In 2011, 50 percent of all new mortgage money was loaned by the three biggest banks in the United States: JPMorgan Chase, Bank of America and Wells Fargo. But by September 2016, the share of loans by these three big banks dropped to 21 percent.

At the same time, six of the top 10 largest lenders by volume were non-banks, such as Quicken Loans, loanDepot and PHH Mortgage, compared with just two of the top 10 in 2011.

"Now banks only approve 'perfect' loans, not 'good-enough' loans," Taylor says. "This created an opportunity for non-banks that focus entirely on mortgages and are less regulated than big banks."

Although there was this paragraph (and rest of the article) that sorta rebutted the article's initial warnings:

"This time around, the non-bank lenders are not being reckless," Sharga says. "Some offer loans to borrowers with lower FICO scores, but they are still not making risky loans. Consumers are benefiting from non-banks because they offer more opportunities to borrowers who are not perfect."

"Higher interest rates will cause funding costs to rise for non-banks, since they have to borrow money from capital markets to make their loans," says Navigant Consulting's Noring. "That could mean a rebalancing among lenders because banks fund their loans with deposits."

TLDR: Traditional banks are unwilling to take on the same risks as pre-2007, and some even left the business. Meanwhile non-bank mortgage lenders are expanding into the high risk mortgage business, and instead of using banking deposits to back the mortgages, they're borrowing money themselves to make the mortgages.

submitted by /u/COMPUTER1313
[link] [comments]

Opinions on Blackberry?

Posted: 24 Feb 2018 06:15 PM PST

They're angling themselves to be a significant player when it comes to the software of self-driving cars and connected cars at large. They have big partnerships with Qualcomm, Denso, Magna, and Bosch. They've acquired multiple U.S. government contracts, their shares are trading at $12.55 (last I checked) with a P/E ratio of 18.9, which is far below the industry average.

I'm still reading their financial statements (still new to this shit I swear it's a goddamn trudge when you don't know the terms) but they look sort of good. Am I missing something here?

submitted by /u/howtoreadspaghetti
[link] [comments]

Breaking News

Investing

Sunday, February 25, 2018

"The less the prudence with which others conduct their affairs, the greater the prudence with which we must conduct our own." -- Warren Buffett, on why Berkshire made few acquisitions in 2017. Investing

"The less the prudence with which others conduct their affairs, the greater the prudence with which we must conduct our own." -- Warren Buffett, on why Berkshire made few acquisitions in 2017. Investing

No comments:

Post a Comment

Popular

Blog Archive