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Anthony Grossi  

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  • Dundee Trades At A Wide Discount To NAV [View article]
    Sometimes I feel like you and I are the only ones following this stock.
    Mar 25, 2014. 06:23 PM | 1 Like Like |Link to Comment
  • John Hussman: Chumps, Champs And Bamboo [View article]
    the problem Mr. Hussman, is not that you have under-perfomed the rally. The problem is that you are LOSING your clients money. Worst case scenario a long/short or market neutral fund like yours should at least be able to stay flat, but to consistently lose money during a market rally is just silly. Prem Watsa at Fairfax says his portfolio is 100% hedged, but he isn't losing money.
    Nov 19, 2013. 08:58 AM | 1 Like Like |Link to Comment
  • Why Passive Index Investing Is Merely An Illusion [View article]
    when I read the title I assumed the author would be writing about how index investors still have to make "active" decisions about asset allocation and timing of purchases (i.e. it is an active choice to make monthly allocations instead of annually, or to hold a 60/40 versus glide-path).

    Second, there are some newer indexes (indices for those of us who went to college) that fix one or the other of your two concerns. Example, VT is a global cap weighted index that completely ignores country of origin and lets the pieces fall where they may. The other example being equal weight indices.

    By my estimation of this articles intentions, one could sort of play the middle ground with an equal weight wilshire 5k etf. Representing 99% of the US market cap, this would eliminate your concern about how committees select index constituents and the equal weighting would eliminate your concerns about cap weighting value.
    May 12, 2013. 05:58 AM | 1 Like Like |Link to Comment
  • MLPs - How To Start A Bubble [View article]
    Richard Kinder is some kind of genius and you certainly can't complain about past performance at KM P R or I, but recency bias has historically been an investors foe more often then friend.
    May 1, 2013. 06:58 PM | 1 Like Like |Link to Comment
  • MLPs - How To Start A Bubble [View article]
    I'm just ruminating on some possible downside risks.

    Yes any company could take a turn for the worse, but it's nice to know what to look out for.
    May 1, 2013. 06:53 PM | 1 Like Like |Link to Comment
  • MLPs - How To Start A Bubble [View article]
    Historically, SA readers have been very polite when pointing out my shortcomings.

    As to your question: I think it's many years away, like 10 or more. Mostly because as long as there are worthy assets to invest in there is apt cause to continue tapping additional credit.

    There real variable is the cost of raising capital. Wherein I have no crystal ball.

    Lower yields is a tell. EPD specifically has and will continue to raise its dividend by 1 and 1/2 cents per share per quarter. So you know that the distribution will be growing slower, and at some point that growth rate won't be enough to attract new investors (relative to other product offerings).

    The timing of this will depend on some of things I listed and maybe some other things I wasn't clever enough to think of. Credit markets, interest rates, investor enthusiasm, distribution growth rate, etc.

    Or maybe I'm just flat out wrong.
    May 1, 2013. 06:24 PM | 1 Like Like |Link to Comment
  • MLPs - How To Start A Bubble [View article]
    I wouldn't get too carried away.

    but certainly many deemed safe income products seem over-extended
    May 1, 2013. 06:12 PM | 1 Like Like |Link to Comment
  • Looking For Value In An Overbought Market? Try These Hated Conglomerates [View article]
    If you add up BAM's ownership interests in the publicly traded holdings, the combined market value is around $22 Billion, compared to the holding company's current market cap of about $22 Billion.
    Apr 17, 2013. 01:07 PM | 1 Like Like |Link to Comment
  • Opportunity Costs Matter [View article]
    it is the opposite of given, most investors under-perform. I wrote an article called "index investors are always above average" which explains why the average return of an index is always above the median. I wrote this article simply to make investors think about including their time and the opportunity costs associated with that time invested when calculating their portfolio returns.
    Apr 8, 2013. 02:16 PM | 1 Like Like |Link to Comment
  • Valuation Model For Brookfield Asset Management [View article]
    I copy and pasted the holdings from the annual report and have no idea which subsidiaries own which parts of what other subsidiaries. This issue should be clarified by the spin-off of BPY. So if BAM owns that portion of GGP (part of those warrants were repaid recently) through a fund, the company includes it in its consolidated earnings. But even if you discount the $11.4 B I guestimated for BPY, you are still buying the asset management firm for free.

    Shares currently trade at a 25% discount to managements stated intrinsic value of $45/per share. So if BPY owns $10B of those subsidiaries I listed out my sum of parts method replicates the companies assessment.

    Which is still going to be an aggressive valuation. I was just going for an intuitively simple way of adding up the parts.

    Thanks for pointing out the flaws and for taking the time to comment.
    Mar 28, 2013. 12:32 PM | 1 Like Like |Link to Comment
  • Index Investors Are Always Above Average [View article]
    Apologies if I misused the term price, i was intending to compare investor performance with market returns, prices as such are incidental.

    investor performance follows a normal distribution, stock returns are log-normal. Hence, the possibility of above avg investor performance that is still below the stock return avg.

    It's a little-known and depressing fact, but the majority of individual securities tend to post negative returns over the long run.

    In fact, researchers at the investment management firm Dimensional Fund Advisors found that from 1980 to 2008, the top-performing 25% of stocks were responsible for all the gains in the broad market. As for the bottom 75% of stocks in the U.S. market, they collectively generated annual losses of around 2% over the past 29 years.
    Mar 21, 2013. 06:23 PM | 1 Like Like |Link to Comment
  • Aflac And Japan [View article]
    the most important thing to note here is that investors seem (I can't account for all of them) to be concerned about two things here

    1) Yen/USD
    2) the investment (bond) portfolio

    the first "problem" is completely outside the control of the company and will have little impact on the actual business being valued. As you very well noted in the article.

    the second problem, maybe they did over expose themselves to European denominated bonds, is still largely outside of their control but could have a much larger impact on the actual business.

    In either case the actual underlying performance of the business is not being called into question. Thus, I would have to think that this presents an opportunity to own a great business faced with a temporary setback.
    Feb 13, 2013. 12:25 PM | 1 Like Like |Link to Comment
  • Marijuana May Be The Next Big Growth Sector In The U.S. Stock Market [View article]
    they call it weed for a reason, it will grow anywhere. so if it became completely legal users would just grow there own. much like alcohol during prohibition, the profit is exaggerated by criminal status. unlike alcohol, no expertise is required to make your own. even tobacco has to be cured and processed, something most users do not have the means to do themselves. these barriers do not exist in pot use.

    not a fit analogy
    Dec 17, 2012. 05:01 AM | 1 Like Like |Link to Comment
  • The Case For Intel [View article]
    all apologies for the confusion of use of language. By power efficient I was refer to consumption of power. ARM has been highly successful in chips for mobile devices and tablets because of the low power consumption of its designs. Intel's Atom processors are becoming much more competitive on the power efficiency front, which will allow the firm to achieve design wins in tablets and smartphones and ultimately encroach upon ARM's turf. I assume this was thought process behind the acquisition of Infineon's wireless chip business in 2011.
    Dec 8, 2012. 05:56 AM | 1 Like Like |Link to Comment
  • U.S. Silica Holdings: All Signals Are Flashing Green For This Fast Growing Fracking Supplier [View article]
    highly recommend reading the comments of Chris Sandy regarding Hi-Crush as a crash course in the business of proppants. (not the article, the comments section)
    Nov 26, 2012. 07:54 AM | 1 Like Like |Link to Comment