What screws a lot of people up from accomplishing good things in life is this desire to wait for the moment to be perfect before beginning. The problem with that mentality is this: there will never come a moment when everything seems perfect for you to get started.
I remember how my writing on the website Seeking Alpha got started. At the time, I was working for a Missouri Congressman from 8:00 AM to about 6-6:30 PM. For a while, I told myself that I’d wait for things to “settle down” before I’d get started. Eventually, I realized that I was only two weeks away from returning to college (and I’d be busy doing lord knows what, then) and if I didn’t hunker down and start writing, it would never happen.
I had this vision in my head of being able to sit down for an afternoon and pour through … Read the rest of this article!
More so than most, I have long been intrigued by the 1960s fad of investing in conglomerate stocks. You have these beautiful, completely unrelated businesses that churn out profits under nearly all economic conditions, and, if properly managed, are immune from bankruptcy unless the conglomerate itself takes takes on too much debt or an insurance liability that could take down the parent entity if manifested.
The downside of conglomerate investing is that, as a class, conglomerate indices tend to underperform the S&P 500 Index. The theory is that each member of the portfolio is unable to reach its potential due to a lack of focus as individual business lines become neglected because no individual part receives extensive care and attention.
However, I believe that the underperformance of the conglomerate is tolerable because, in the event that there is a corporate spin-off event, you were already sitting there at the low … Read the rest of this article!