Risk & Return: A Fundamental Concept
Guy Davis, CFA discusses the relationship between Risk and Return when it comes to investing.
08May
03May
Behavioral Biases: Part Two
In our last post, Behavioral Biases: A 2 part Series, we discussed some of the behavioral biases which investors often fall victim to, focusing firstly on the emotional biases. In this post, we will continue that discussion, now focusing on the cognitive biases. Unlike emotional biases, which stem from impulse, intuition, and feelings (things most...
18Apr
First Quarter 2019 Update
As you know, our philosophy and approach to investing is to focus on the long- term cash flow growth of the companies we invest in, rather than focusing on short term market movements. As such, quarterly updates such as this are of far more value to you if we focus more on how we...
28Mar
Behavioral Biases: A 2 Part Series
In our last post in our investor education series, Active vs Passive: Why the Efficient Market Hypothesis is Wrong, we introduced the concept of rational actors, people that analyze every piece of available information and arrive at an optimal solution to maximize their expected utility, and irrational actors; people that use mental shortcuts and...
28Feb
CarMax (KMX): Great Unit Economics with a Long Runway for Growth
This is the first of what will be many short investment summaries that we will be posting on our site. Our goal here is to give you a very brief snapshot of our investment rationale. These short summaries are condensed versions of much longer internal documents that take months of research and analysis to...
23Jan
Active vs Passive: Why the Efficient Market Hypothesis is Wrong
There has been an explosion in passive investing strategies over the last ten years. Firms like Blackrock and Vanguard have grown into behemoths, managing trillions of dollars largely on the back of offering very cheap access to markets. For a tiny fee, you can buy a fund that replicates the performance of the S&P...
03Jan
Fourth Quarter & Full Year 2018 Update
Globescan Capital was founded on the principle that investing in high quality companies at attractive prices is the best and most consistent strategy to achieve long-run risk adjusted performance. This remains as true today as it has ever been. Regardless of the recent market movements we maintain the same disciplined adherence to that principle. What...
21Nov
Thanksgiving 2018: Thoughts on Corporate Debt Levels: Implications, Risks, and Concerns?
Volatility First, a quick comment on volatility. During 2018, markets have been more volatile than we have seen for the past several years. This has understandably made many investors very nervous and given commentators a huge amount to write and talk about. However, we must put 2018 into context- for the last few years we...
03Oct
Third Quarter 2018 Update
Globescan Capital was founded on the principle that investing in high quality companies at attractive prices is the best and most consistent strategy for achieving favorable long-run risk adjusted performance. This remains as true today as it has ever been. Regardless of political changes, market movements and other investment fads, we have maintained and...
29Aug
Market Noise: The Negative Implications of Short-Termism
Most of us have a basic understanding that the future is uncertain. Maybe the stock market will crash tomorrow or maybe a war will break out somewhere. We know that more things can happen tomorrow than will. However, when we look back at yesterday, all we tend to see is certainty. We see the...