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Current market valuation

This category contains 8 posts

The Last Post

As of 13th October 2014, I am no longer in a position to share investment analysis and commentary, or make further investments due to professional commitments. I will therefore not be blogging here or anywhere else for the foreseeable future. Thank you to all those who have read this blog, posted comments and emailed me with … Continue reading

The First Investment

Since the launch of the Independent Value (IV) Portfolio on 24 October 2013, common stocks have returned approximately 2% – 5% over the near-six month period to today, as measured by my preferred benchmarks of the Euro Stoxx 600 (+1.9%) and the S&P 500 (+5.0% ).  By contrast, the IV Portfolio has generated a nil … Continue reading

Independent Value – 2013 End of Year Commentary

2013 has turned out to be an excellent year for those invested in equities generally, with such representative indices as the S&P 500,  the FTSE 100 and the STOXX Europe 600 up approximately 32%, 22% and. 17% respectively. The Independent Value Portfolio, established on 24 October 2013, remained 100% in cash for the period to … Continue reading

Western Digital Corporation remains a Quality Value opportunity

After a three month hiatus due to work commitments, I am back with a post on a business I’ve been looking at for quite some time (and more recently kicking myself over). In my previous post “Thoughts on investment selection in a richly priced market” I discussed the category of investments that I call “Quality … Continue reading

Howard Marks and the temperature of the stock market

I’m a little frustrated at the moment as it is proving difficult to identify attractively priced businesses to invest in. My portfolio remains 100% in cash given the recent all-time highs reached in US equity markets, with the S&P 500 up nearly 11% for the year-to-date, and general exuberance in European equity markets – the … Continue reading

Observations on Buffett’s 2012 Letter to Berkshire Hathaway shareholders

Following on from my previous posts, given that equity markets are at post-crisis highs currently, I believe it is a useful exercise to sit back and take stock of what this means for me as I prepare to build a portfolio based on value investing principles. Part of such an exercise should involve a careful … Continue reading

Thoughts on current stock market valuation continued

In my previous post, I outlined why I believe the stock market is currently overvalued based on an examination of what I feel the primary drivers of stock prices have been recently. I concluded that stocks (as measured by the S&P 500) are overvalued as earnings are artificially inflated (and therefore not indicative of normal … Continue reading

Current stock market valuation and the implications for investment

“Prudence suggests that he have an adequate idea of stock market history, in terms particularly of the major fluctuations in the price level and of the varying relationships between stock prices as a whole and their earnings and dividends. With this background he may be in a position to form some worthwhile judgment of the … Continue reading