In their latest episode of the VALUE: After Hours Podcast, Tobias Carlisle, Jake Taylor, and Bill Lenehan discuss: Why Simplicity in REITs Wins Capital Allocation Strategies for REIT Success Applying Raymond Loewy’s MAYA Principle to Modern Markets Why REITs Can’t Compound Like Berkshire Why Doing the Work and Thinking Independently … Read More
François Rochon’s Formula for Finding Great Businesses
During this interview with MOI, François Rochon explains how he identifies great businesses through a combination of quantitative and qualitative analysis. He begins by reviewing past performance metrics such as return on capital, margins, debt levels, and profit quality to find strong companies. However, he acknowledges that past performance alone … Read More
Michael Mauboussin: The Five Principles of Good Capital Allocation
We’ve just been re-reading Michael Mauboussin’s great paper on capital allocation titled – Capital Allocation Evidence, Analytical Methods, and Assessment Guidance. At the end of the document Mauboussin provides his five principles of good capital allocation and his conclusions. Here’s an excerpt from the paper: Five Principles of Capital Allocation. … Read More
How To Identify Great Capital Allocators
https://www.youtube.com/watch?v=H7_QJyxr2W0?start=777 During his recent interview with Tobias, Jake Taylor of Farnam Street discusses how investors can spot great capital allocators, saying: – But having said all that yeah there’s so many great cap allocators out there. You know obviously Buffett and Munger are the gold standard at Berkshire. But you … Read More
(Ep.2) The Acquirers Podcast: Jake Taylor – Charlie Munger and The Rebel Allocator
In Episode 2 of the The Acquirers Podcast, Tobias chats with Jacob “Jake” Taylor of Farnam Street Investments. During the interview Jake talks about his new book – The Rebel Allocator, and discusses the secret sauce of business success and investment returns – good capital allocation. He also provides some … Read More
Michael Mauboussin – Share Buybacks Are A Better Alternative For Shareholders Than Dividends
There is much debate about whether companies should increase shareholder value by repurchasing their shares or returning excess cash to shareholders by way of dividends. One of the best papers written on the subject is Share Repurchase From All Angles, by Michael Mauboussin where he makes the case for share buy-backs … Read More
Henry Singleton – (“The Best Capital Deployment Record In American Business” – Warren Buffett)
One of my favorite investing books is The Outsiders: Eight Unconventional CEOs and Their Radically Rational Blueprint for Success, by William N. Thorndike. In fact it’s also the top choice on Warren Buffett’s reading list. The book provides stories on eight of the most successful CEOs in history who were great capital allocators. … Read More