If one thing scares us more than staring at the P/E multiples of low quality companies it is investing in companies with low/no barriers to entry. The inability to stay away from “hot sectors” is a common challenge for investors across the world. Two years ago setting up NBFCs was all the rage in India. […]
There is plenty of talk in India these days regarding how India can try to pull business away from China in the wake of Covid. Whilst James Crabtree pours cold water on Indian hopes in his piece e in the Nikkei Asian Review, Sirin Kale comes at the issue from a different and arguably more instructive […]
Most firms hike product prices to offset the impact of inflation in raw material costs and operating expenses. However, several firms in Marcellus’ CCP Portfolio – e.g. Asian Paints, Relaxo Footwears, Abbott India, Dr. Lal Pathlabs – have historically avoided hiking product prices meaningfully. These companies focus on deriving incremental operating efficiencies, thereby negating the […]
For most Indians, the first experience of watching the NBA live on TV was in the early nineties with the arrival of cable television. And this coincided with one of most purple patches for a basketball team featuring the greatest basketball player and the greatest basketball coach ever. The Chicago Bulls with Michael Jordan’s genius […]
The WeWorks fiasco may have been a result of its’ founder Adam Neuman’s shenanigans fueled by Softbank’s megalomania. But it also showed the fundamental weakness of the co-working business model i.e, an asset-liability mismatch with long dated assets in the real estate backed by short term contracts with tenants, a classic recipe for disaster, exacerbated […]
The chorus of the end of value investing the way it was known and practised is getting louder and louder with more legends from the world of investing lend their voice to it. This time it is Professor Aswath Damodaran, who perhaps knows a thing or two about valuation – he teaches a popular course […]
One of the key reasons to publish ‘Three longs and three shorts’ is that in a world with information overload, any means to separate the signal from the noise can make a meaningful difference to our understanding of the world around us. This is perhaps the most common problem all of us face when it comes to […]
Millions of parents around the world are fretting about the impact of the lockdown on their children. This article from Bloomberg should reduce parental anxiety a notch or two: “Perhaps it’s time to re-read the classic longitudinal study “Children of the Great Depression.” Written by sociologist Glenn Elder, it mined data first collected in a study […]
Every now and then we across an article which makes us realise just how little we understand of the world around us. This piece from the New Yorker not only highlights the limits of our knowledge but also how that lack of knowledge isn’t preventing us from wrecking the world which we live in. This […]
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