Category Archives : Invest Money

Articles on how to invest money online


Billionaire Charlie Munger On How To Get Rich Through Investing 1

One of my favourite investment thinker and theorist is Charlie Munger. And if you have read any of his investment pieces or listened to any of his interviews, you would understand why. Mr Munger is a stern believer that an investor would be better served by focusing on better quality businesses, even if the price were higher, because those businesses could be held for decades, continually churning out cash and profits for the owners. This level of thinking rubbed off on his long-time business partner, none other than the legendary Warren Buffet, and led to Buffet acquiring stakes in quality companies such as Coca Cola and shunning the “cigar butt” […]


Staying The Course Is Harder Then It Sounds – A Real Life Account

One of the most common mantras is stay the course. When everyone is panicking and selling out of their positions, you should hold firm and wait for a businesses performance and/stock price to rebound. After all you should never sell at the bottom – investing is all about buying low and selling high. Whist staying the course may sound like a simple thing to do in theory – especially in hindsight when you get to look at the recovery of shares that got pummelled by the financial crises – it is much harder to do in practice. When you actually have your hard earnt money in the markets and you […]


Invest In World Dominating Dividend Paying Stocks 3

One of the simplest ways to make money on the stock exchange is to invest in world dominating businesses. Companies that are the worlds strongest and safest. Companies that are generally the largest and most powerful company in its industry. Company’s like Wal-Mart, the largest retailer, or Nestle the largest packaged food company or Nike the largest sports apparel company. And although this strategy might sound too simple and straightforward, it is important to remember that some of the world’s greatest investors like Warren Buffet (owning shares in Coca Cola and American Express for instance) made close to 20% p.a. returns for decades using this method. As I have mentioned […]


The Secret Coca Cola Millionaires Of Quincy Florida.

At first glance, the town of Quincy in Florida has nothing special about it. It seems like any other town found across southern America. But dig a little deeper and you will find that Quincy was once the richest town per capita in the United States. This was all thanks to the beverage giant that is Coca Cola. In the midst of the Great Depression of the ’20s and ’30s, a banker named Pat Munroe noticed that even during the depths of the Great Depression, otherwise impoverished people would spend their last nickel to buy a glass of Coca-Cola. At the time, the Coca-Cola company was trading for less than […]


September Monthly Stock Purchase – Fidessa DMGT Advantages Of Technology Stocks

Technology has been the driving force behind the progress made in he 21st century. So in this regard, it is really strange that the London market has barely any world leading technology companies listed on it. And the few that are listed, they are normally undervalued compared to peers worldwide – just look a ARM and Aveva for examples of this and they have duly undergone a takeover and a merger. Fidessa is one of the only truly global technology companies we have left on our main UK market and I believe its valuation at 20x earnings is cheap for a company of its quality. If Fidessa was trading on […]


A Masterclass In Capital Allocation – Imperial Brands Case Study

Investors in Imperial Brands have done extremely well over the years. If you had purchased 1000 shares in the company at the turn of the century for £3,820, your holdings would be worth £32,000 today – This is without accounting for the £13,330 in dividend you received along the way. This is a compounded annual return of 14.7%. Amazing! One of the reason the company has done so well is because the underlying economic engine of the business is a great one. I have mentioned many times before that the economics of the tobacco industry are simply wonderful. But apart from Imperial Brands being in a fantastic industry economically, investors […]


The Death Of Brands – What Investors Need To Know

One of the common investment mantras is to buy companies with strong brands. The reason being a strong brand name will insulate a product from competitors causing the company that owns the brand to charge higher prices and earn above average returns. Whilst I am a fan of brands as an economic moat (Competitive advantage), I am unsure many people know what a strong brand actually means. Furthermore investors today are pacing too high a value on brands without understanding the consumer landscape has changed. History Of Brands Going back in time – say the 1800s – it is fair to say life was local. You didn’t experience a world […]


Share Price Charts Can Be Misleading – GSK And The Power Of Dividends

Most people look at the GSK stock price over the last 10 years and think it’s been dead money. The share chart will show that GSK shares were trading hands for £13.40 in 2007 and are trading for £14.80 in 2017. A lot of people have become disheartened by this abysmal share price performance. But it is important to note that great companies do go through extended periods of share price stagnation. And just because a company’s share price has stagnated does not mean wealth is not being created. GlaxoSmithKline is a classical example of this phenomenon. The persistent negative news-flow the company has faced over the past 10 years […]


Freetrade – A Look At The Fee Free Share Dealing Platform 5

Rip-off Britain. Nowhere is this statement more true than in the world of finance and investing. We as the public are getting fleeced by the stock-broking world. The average price we pay per deal is £10 which is crazy. For a buy and hold investor like me who only makes about 15 trades a year, dealing fees add up to £150 per annum. And considering I have a good 40 years of being an investor ahead of me, total dealing fees balloon to £6,000. And if you think that is bad, have a look at this. If all I did was put the £150 a year spent on fees in […]


Naspers and Tencent – A Great Arbitrage Opportunity 3

It is common knowledge that big companies don’t have fast growth. This has become so ingrained in investor minds that many growth investors do not go anywhere near big blue chip companies. But with most theoretical concepts, there is an anomaly to the rule. The anomaly in this case is a $400 billion company growing at 40% a year. The company is Chinese and goes by the name of Tencent. Now I know what you are thinking when you hear where this company is based. But I urge you to read on and understand why I rate Tencent so highly and consider it one of the best companies in the […]