Category Archives : Investing Theory

A list of articles on the theory of investing. Articles that give you the knowledge on how to invest. Looking at the Invest Money tab to find out what to invest in.


7 Pillars Of Investment Wisdom By Charles Plowden – A Senior Partner at Ballie Gifford

Ballie Gifford are the epitome of a good fund management business. They value performance over fund inflows. They invest for the long term. They are no star fund managers. Instead, they follow a well defined process. A process that has lead to their funds having some of the highest returns in the past decade. Anything Ballie Gifford puts out is a must read. And when a senior partner speaks, you better take note. These are the 7 Pillars Of Investment Wisdom By Charles Plowden, one of only two senior partners at Ballie Gifford.   Start with a blank sheet of paper. Invest in what you think are the best companies, […]


FUNDSMITH Annual Shareholders Meeting Video Presentation 2021

Much like Warren Buffet’s Berkshire Hathaway annual shareholder meetings have been great viewing for any aspirational investor, so too has Terry Smith Fundsmith’s annual shareholder meetings. This year, just like last year, the meeting has been virtual due to the on going pandemic.  The good news is that the video of the 2021 meeting has just dropped on the Fundsmith website.   The meeting sees Terry Smith, also known as the english Warren Buffett in some circles, sit down with Jeff Randell in order to talk about a wide variety of topics from the fund, to quality companies to the companies he is invested into the current economic landscape. And […]


Investing Through A Bubble

Goldman’s Non-profitable Tech Index is approaching 250% year-over-year performance. (Twitter)   If statistics like this haven’t given cause for concern, the market should take a long hard look at itself.  Yes I do understand why the stock market is at record highs and equities seem to be the only game in town. Yes I get the arguments of how difficult it is to value equities in this post pandemic world with all the pent up demand and fiscal stimulus sloshing around. Yes, I realise how markets change over time and today, at least in the US,  they are dominated by low capital, highly scalable businesses. Yes I understand the mantra […]


IG Alternative – Buy Stocks And Shares UK

Over the weekend, there has been rumours circulating on social media that top UK spread betting and CFD provider, ig.com, will be is increasing the margin requirements to 100% on 1,000+ stocks next Friday. The rumour is IG account managers began contacting clients last week informing them that various stocks would go to 100% margin. This is because IG’s prime brokers have demanded more capital for its positions. Whilst these reports are still unconfirmed, it could prove to be unwelcome news for investors both up and down the country.   If you are an IG account holder with shares on the margin list you would either have to put up […]


The Stock Market Is Too Easy – This Should Concern You

With markets approaching the one-year anniversary of their pre-Covid-highs, it might seem surprising that the MSCI All Countries World index, the benchmark most used by global funds, is hitting new all-time highs.   Thanks to unprecedented monetary and fiscal stimulus by the world’s central banks, markets have recovered sharply from last year’s depths of despair even though unemployment is high, inflation is making a comeback and earnings for a large part of the economy have been wiped out. (To read more on why the markets are at a record high, read my post on the subject here). In this market everyone seems to be making money. That market appears to […]


Selling Coca Cola From My ISA and Moving It To My SIPP Portfolio – US Stocks Dividend Withholding Tax

Coca Cola is a never sell stock. It is one of those businesses that has been around for 100 years and will be around for 100 more. The soft drinks industry doesn’t change fast. My grandad drank Coke, so did my dad and so do I. I am sure my kids and grand kids will do too. They are not many companies with the heritage, resilience and staying power of coca cola and that is why it is one of the companies on my stock list; a list of the greatest companies in the world that can be held for year and years and will compound your money nicely over […]


Sandstorm Stock Explodes Higher – Another Case Of Mistaken Identity

It feels like not a day goes by where there isn’t a strange occurrence in the stock markets. The latest story involves Elon Musk and Sandstorm. With 45.4 million followers, a great track record (Paypal, Tesla, Space X) and being the richest man on the planet, Elon Musks tweets have the power to move markets. Every tweet he shoots off garners attention from his followers worldwide. And this has lead to people trying to capitalise on this. Just look at how Dogecoin, GameStop and Signal (albeit the wrong one) spiked upon mention by the richest man in the world.    But what happened yesterday takes the cake!   He tweeted […]


The Full Gamestop VS WallStreetBets Story – Shorting Hedge Funds

Trading in Gamestop (NYSE:GME) has caught the worlds attention. The story has gotten everyone talking from richest man in the world Elon Musk ( who is against the hedge funds) to taxi drivers. It  is soo engulfing that it has got Donal Trump jnr and hard left democrats on the same page for once. What started out  an opportunity for some in the Redditt subgroup /r/wallstreetbets to make money has now morphed into something much more more.   The Gamestop story is the everyday Joe saying they don’t like a system geared to the already rich. The story is about about capitalism, class warfare, free markets, censorship, freedom of speech, […]


Buying Shares in AMC Networks Vs AMC Entertainment – What stock is WallStreetBets Tipping?

Reddit subgroup r/wallstreetbets bets taking on the big hedge funds is a story for the ages.   Whilst the original Wallstreetbets posters had a good ‘short squeeze‘ thesis and have made big money. I fear it might not necessarily be a good buy anymore for the retail investor that could get caught holding the baby.   Many of the newer buys are buying based on speculation rather than any research or due diligence. A case in point is AMC Entertainment (NYSE: AMC) vs AMC Networks (NASDAQ: AMCX).   AMC Entertainment, alongside Gamestop, is being tipped by Redditors and social media alike as a way to make money from the short […]


The Gamestop Short Squeeze (NYSE:GME)

The Gamestop Short squeeze is quickly becoming the stuff of legends. From a price of under $3 a year ago, shares in Gamestop now trade hands at over $200 a share. That is close to 100x return. If you had put in $10,000 in to Gamestop shares about a year ago, you would be sitting on a cool $1,000,000. That is truly epic considering Gamestop was dead and buried a year ago. The people at popular subreddit group /r/wallstreetbets crafted the greatest short squeeze of all time. What Is A Short Squeeze? When you believe a stock is going to rise in value, you are said to be “long” the […]