All Change Happens at the Margin; A Great Company CAN be a great Investment (Research)

US Bonds: The Trend is your friend until it isn’t….

“As all of us were taught, but most of us have long since forgotten, economic change occurs at the margin, where the action takes place… individuals who can think on the margin always have an advantage over those who cannot.”–Arthur Zeikel

Are Great Companies Great Investments?

I can’t emphasize enough how much these lectures–linked below–helped me improve as an investor. You will be further along your successful investment journey by absorbing these lessons.

As one great investor who lectured at Columbia GBS: R_Bruce_EMBA_Feb_29_2008 and Complete R Bruce said, “I have evolved to buying stable companies with long histories of strong profitability, cash flows, balance sheets and judicious use of capital allocation.”

More research confirms the efficacy of that strategy. Boring works. Great Companies Great Investment and GMO_WP_-_2012_06_-_Profits_for_the_Long_Run_-_Affirming_Quality

Housing Update

We first mentioned housing stocks here http://wp.me/p1PgpH-2g on September 21, 2011–almost exact day of the price bottom and the day of the Wall Street Journal article pointing out the ever worsening housing statistics.

Now the news is getting better, but the prices have already doubled from the lows.  A lesson here.