yup right nareshg, great growth is one of the best way to make a killing: hardwork in turning stones and digesting the Whys this so
great. dividend is secondary: most ppl want it both ways: great appreciations and good dividend.
IMO, the real returns from our investment in stocks should be tied to FCF growth rate!
Invariably that translates into their stock prices and that gives investor the real capital appreciation. Companies with growth potentials usually have a poor dividend payout ratio.
My take on this is pretty simple. Why do ppl stay in cash in anticipation of a bear market? To scoop up cheap stocks right? So if I can find stuff that are cheap now, why bother staying in cash and wait for that crash that god knows when will come?
For those peeps who have the majority of their allocation in cash right now, they are probably suffering from home country bias. I find it very hard to believe that if you are managing under say 9 figures, you find nothing that is of interest to you out of literally 10s of thousands of stocks out there.
To me, my cash allocation is just a consequence of not having anything to buy instead of a target allocation.
yup right nareshg, great growth is one of the best way to make a killing: hardwork in turning stones and digesting the Whys this so
great. dividend is secondary: most ppl want it both ways: great appreciations and good dividend.
IMO, the real returns from our investment in stocks should be tied to FCF growth rate!
Invariably that translates into their stock prices and that gives investor the real capital appreciation. Companies with growth potentials usually have a poor dividend payout ratio.
My take on this is pretty simple. Why do ppl stay in cash in anticipation of a bear market? To scoop up cheap stocks right? So if I can find stuff that are cheap now, why bother staying in cash and wait for that crash that god knows when will come?
For those peeps who have the majority of their allocation in cash right now, they are probably suffering from home country bias. I find it very hard to believe that if you are managing under say 9 figures, you find nothing that is of interest to you out of literally 10s of thousands of stocks out there.
To me, my cash allocation is just a consequence of not having anything to buy instead of a target allocation.
Reply to @BrennenPak : you got very good success, congra. Value investing margin of safety is very good
though a bit boring.