The Global Market Update is curated by Douglas Tengdin, CFA an employee of Charter Trust Company.
The opinions expressed herein are those of the author and do not necessarily represent the views of Charter Trust Company.
Investments may involve investment risk, including the possible loss of value.

The Right Investments

By |August 14th, 2018|

Should investors have a “Bill of Rights”? US Bill of Rights. Source: Wikimedia We ought to. After all, it’s our money. But the financial industry is filled with fast-talking rascals who take advantage of our good-hearted tendency to trust other people. Ponzi schemes and outright fraud are just the tip of the iceberg. There are all sorts of ways for advisors to abuse their position [...]

The Most Important Think …

By |August 13th, 2018|

What’s the most important thing to know about investing? La Pensadora by Jose Luis Fernandez. Source: Wikimedia Is it values and valuation? No. Economics and market history? Nope. Stocks, bonds, and asset allocation? Uh-uh. Corporate finance and fundamental analysis? Heavens, no. All these things are important and something every investor should be familiar with. But the most important factor for any investor to “get” is [...]

Throw Out the Bums

By |August 10th, 2018|

Bonds are different. Photo: Pixabay Fads come and go in finance. Value investing is in, then it’s out, then it’s back in. Global investing is out right now, mainly because it’s underperformed the US for so long. Sometimes fads and fashions have a permanent impact. This has been the case with index funds. A stock-market fund that holds everything in proportion to the company’s market [...]

Of LBO’s and Private Co’s.

By |August 9th, 2018|

This is like United Airlines in 1989. Tesla Model S as electric taxi. Photo: Thomas Mezger. Source: Flikr. CC-BY-2.0 (Full disclosure: Charter Trust holds a modest position in Tesla. This discussion is NOT a buy, sell, hold, tender, tinder, or conflate recommendation. If you think the Global Market Update is a place to get stock tips, you’ve come to the wrong web site.) That’s what [...]

Weathering the Market

By |August 8th, 2018|

Why should the market listen to economic forecasts? Broad Street in Manhattan. Source: Wikimedia The short answer is, to make predicting the weather look easy. But seriously, the market depends on earnings, earnings depend on revenues, and revenues depend on the economy. All else being equal, a strong economy should lead to strong earnings and a strong equity market, which feeds back to the economy. [...]

The Heavy Down Under

By |August 7th, 2018|

Is Australia doing some heavy lifting? Australian Paralympic powerlifter. Source: Wikimedia In the world of bilateral national relationships, the US-China nexus is tops. Together, our two countries constitute almost a third of global production, and our combined economic growth creates the equivalent of a new Australian economy every year. But the Australia-China relationship is also critical. Australia exports the raw materials that China needs to [...]

Hidden Assets

By |August 6th, 2018|

Why is Tesla worth more than Ford? Source: Company financials, Bloomberg (Full disclosure: Charter Trust holds modest positions in both Ford and Tesla. This discussion is NOT a buy, sell, or hold recommendation. If you think the Global Market Update is a place to get stock tips, you’re at the wrong site.) Both car companies are growing. But Ford had $160 billion in sales last [...]

Interval Training

By |August 3rd, 2018|

Stress plus rest equals growth. Facebook stock price. Source: Bloomberg app. That’s what I thought about when I heard the latest Facebook numbers. Stock analysts saw them as an unmitigated disaster: year-over-year revenues were “only” up 42%, after growing 60% just a couple years ago. But more important was the fact that expenses were up 50% and accelerating. Wall Street said to Facebook’s management, “You [...]