While generally associated with carpentry, the underlying concept is one of double-checking for accuracy, before taking definitive action. In today’s world, an appropriate modification might be, think twice, tweet once, or not. Without naming names, the list would be too long, irresponsible tweeting is reaching epidemic levels. Investors should be cautious in attempting to react … Continued
Fair market value is generally described as the price that a knowledgeable, willing and unpressured buyer would pay to a knowledgeable, willing and unpressured seller. Investors may soon have an opportunity to observe the impact on price when the seller faces legislated pressure. California and nine other states have inaugurated a Zero Emission Vehicle (ZEV) … Continued
These words were the first line in the first of a series of pamphlets written by Thomas Payne, during the American Revolution, titled “The American Crisis”. Perhaps a small modification to, “these are the times that try investor’s souls,” might be timely. Investors, and everyone else, is being pummeled by a barrage of, seemingly never-ending, … Continued
The issue of affordable housing has long been a material factor in political and investment decisions. During the first quarter of 2018, affordability, as measured by the average share of income needed to buy a median-priced house was at its worst since the third quarter of 2008, according to “Attom Data Solutions”. Attom is a … Continued
Patient Investing Sometimes it takes years for a potentially attractive investment opportunity to materialize. Investors should be aware of the probable time frame involved when making decisions. For example, the development of fracking in the US energy industry resulted in a significant surplus of natural gas and a marked softening of prices. This gave rise … Continued
Recent data provided by the Panama Canal Authority suggests that total annual revenues for 2018 will be ahead of a strong 2017. Approximately half of both revenues and crossings comes from shipments to U.S. East Coast ports. The alternative route for shipments from Asia uses the Suez Canal. Sailing time via the Panama Canal is … Continued
“The trend is your friend” is one of Wall Street’s best-known sayings, although the message is incomplete. A more accurate version would be, “The trend is your friend, until the end, when it bends.” If you are market timing, which we do not recommend, the trick to investing is to be patient through small fluctuations … Continued
Transparency is a term that dominates in the business world. A good business leader, at the helm of their organization, promotes transparency with the hope that their organization will thrive as a result. Transparency also is a term in vogue in the investment management industry. Investment advisory clients can easily become accepting of investment decisions … Continued
It is generally accepted that the U.S. economy is largely consumer driven. It is also probably true that most Americans spend virtually all of their income. Therefore, anything that reduces consumers’ disposable income may expose the U.S. economy to additional risks. With that in mind, investors could benefit by giving some consideration to the nature … Continued
It is generally accepted that longer life expectancies and the gradual retirement of the baby boomer generation are combining to raise questions as to the sustainability of current levels of Social Security distributions beyond 2034. The Social Security Administration collects payroll taxes and uses the money collected to pay Old-Age, Survivors, and Disability Insurance benefits … Continued
When considering a possible investment, it is important to understand the big picture as opposed to focusing on a single issue. In general terms, business activity includes both supply and demand. This translates into determining whether a product or service can be provided at a price that is profitable to the supplier and attractive to … Continued
CBS’s lawsuit against National Amusements, its controlling shareholder is, among other things, a challenge to dual-class stock structures. National Amusements controls almost 80% of the voting stock in CBS, but actually owns only 10%. Dual-class stock structures are already under fire from regulators, index providers and the courts. Here at Sigma, we have consistently voted … Continued
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