Sunday, December 3, 2023
Fixed income investors who listened to Wall Street earlier this year and bought bonds have been left holding the bag. Rates have yet to peak, and yields have continued to move higher, lowering the value of any bonds the investors already held. So, what should income investors do now? With so much uncertainty still surrounding […]
George Roper founded Roper Technologies (ROP) in 1890, primarily as a manufacturer of home appliances, pumps, and other industrial products. It was an old industrial conglomerate. But no longer…the company has sold off its industrial businesses and transformed itself into a software conglomerate. In June 2022, Roper sold a 51% stake in 16 legacy industrial […]
One of the favorite investments for income-seeking investors that our colleague Tim Plaehn recommends is business development companies, or BDCs. Business development companies provide equity and debt financing sources for small-to-medium-sized corporations. They act as commercial lenders to companies that cannot get financing through the banking system. Currently, BDCs hold a quarter of assets under […]
When a technology is billed as something that will transform the entire global economy, the primary impulse of investors is often fear—specifically, fear of missing out (FOMO). And that’s exactly what we’ve seen so far in 2023, with regard to artificial intelligence (AI). However, for investors, the most obvious play to profit from generative AI […]
Many of us have heard this old chestnut, usually attributed to Mark Twain: “Buy land, they’re not making it anymore.” A number of America’s richest people understand this, and are now among the country’s largest landholders. The list includes Jeff Bezos, the Ford family, Dr. Peter Buck (co-founder of Subway), Ted Turner, John Malone, and […]
The Merriam-Webster dictionary defines the idiom “to live off the fat of the land” this way: “to live very well by enjoying the best things that are available without having to work hard to get those things.” Investors can do this literally and sit back and watch their money grow, without doing much work, by […]
Stability can be a virtue in any economic climate. Consumer staple stocks are the very epitome of stability. An analysis by Verdad Research found the sector had the lowest income statement volatility of any listed sector between 1996 and 2023. Most companies that make consumer staples have reliable cash flows and steadily growing dividends—and history […]
Rapid demand growth thanks to the energy transition away from fossil fuels could lead to a shortage of several metals over the next decade unless there’s more investment in the segment. This is according to the Energy Transitions Commission (ETC), a global group of power and industrial companies, consumers, financial institutions, and scientists. Large supply […]
There has been an unexpected winner in the bond market in 2023: emerging market bonds. This is especially true for emerging market bonds priced in local currencies. Currently, the gap in government borrowing costs between emerging markets and U.S. Treasuries is at its best level since 2000. The reason is that investors are pricing in […]
Japanese automakers, such as Honda Motor (HMC) and Toyota Motor Corporation (TM), have long been seen as laggards in move toward electric vehicles (EVs). But now, both companies are revving up for the EV race. In fact, Honda has emerged as a star performer in this year’s Japanese stock market rally, as investors cheer its […]
