How To Invest during a Weak Market: Moat Investing
Why are some stocks performing better in long run than others? Do you have stocks in your portfolio that are strongly outperforming the rest or even beat the STI?
Photo: just Usain Bolt outperforming other competitors with little effort.
We do too, and after some research, we’ve discovered 2 important points:
- In the short term, market in moves because of emotions
- In the long term, prices moves because of how much money the company makes
Companies with high returns can retain some for growth while paying dividends. Those that do this for a long time achieving amazing results in the long run through compounding.
But taking a step back in order to move a step further, we have to go back to the very crucial part of analysing the business, particularly the competitive advantages of the company’s business model.
Because this is the key for companies to produce amazing results, time and time again.
We realised that the best performing companies have an economic moat that protects their returns and have high barriers to entry. If you are a long-term investor, it’s crucial to select companies with a strong moat.
With that in mind, we’ve created the Moat Scorecard – a system to quickly identify companies with a strong moat.
We’d show you how we can quantify economic moats of a company, based on its profits, cash flow, pricing power, profitability and leverage over long term…all in this workshop.
In this workshop you’d learn:
- How to find companies with strong moats
- How to understand the industries
- How to filter fundamentally sound companies
- How to identify a conservative price where company at fair price
Why should you attend?
- Understand why Moats are so important in analysing a stock
- Know how to pick good companies with healthy financials and strong moats
- Your stocks will be reviewed during the open Q&A session
Who should attend this workshop?
This is a workshop for beginner or intermediate investors who’ve difficulty identifying value stocks and are looking to create a better portfolio. Ask questions and engage with TUBInvesting and SimpleInvestor in an open discussion during the Q&A session.
Mark your calendars and join us for this exclusive workshop on 24th September, Monday. Registration starts at 6.30pm. Mingle and network with TUBInvesting and SimpleInvestor, along with other fellow users after the workshop.
No refreshments provided. Strictly limited seats only.
About Your Presenters:
T.U.B is a full-timer in the finance industry who started investing in 2009/10. Like many of us, he has his fair share of mistakes at the start of his investing journey. The worst was when he used up all his saving to bet on warrants, losing half of the saving.
It was only after reading the book, Value Investing: Tools and Technique for Intelligent Investment by James Moniter, in 2011 that he realise the need for a more consistent value-focus strategy. He tried reading more books, but it became apparent that the more information he gather, the more he got confused. Thus, he stopped and came up with his own way of analyzing companies’ financial statements by gathering the key concepts from each book he read.
Subsequent investments resulted in more hits than misses, giving him the confidence to declare that he has found his own unique way of investing. Currently, his investment methods has evolved significantly. He uses a few different methods to invest. However, all these methods are always centred around value-investing concepts and fundamental analysis. He is the veteran blogger behind the popular blog, tubinvesting.blogspot.com.
Simple Investor SG
Investing is all about the company behind a stock. Profiting in the stock market has everything to do with looking at the business – it’s a combination of spotting bad companies, and good ones that have been neglected.
As a business owner, Simple Investor SG’s investment style is heavily influenced by Warren Buffett. He viewed the stock market as a place for him to acquire good business when they become irrationally priced by the market. He is also a firm believer that anyone can invest, as long as they acquire the right knowledge and mindset.
With over 9 years investment experience and 4 years experience from running a business, Simple Investor SG founded simple investor (https://www.facebook.com/simpleinvestorsg/) with one aim in mind : to simplify research on businesses, and investment.
They are also the providers behind the service Moat Scorecard.
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