There is simply no company out there that has a stock safe enough for you to invest in just that one and nothing else. Even tried and true utility stocks demand diversification in your portfolio. There is no better example than what is happening to PG&E right now. PG&E is the California utility being alleged to have caused some of the wildfires there. Despite being a "widows and orphans" staple, the stock has plunged and the company has announced it will file for bankruptcy. Juliet Chung and Nicole Friedman report in the Wall Street Journal: Utilities have long been considered … [Read more...]
Electric Volvos about to Go Wireless?
Volvo has purchased a portion of Momentum Dynamics, a company building wireless charging stations for battery powered vehicles. Volvo is trying to gain an edge in what has become a worldwide race among the largest car companies to gain an advantage in the electric powered vehicle market. Kate Beioley reports for the FT that Volvo isn't alone in exploring wireless charging technology. She writes: The Volvo Group Venture Capital AB, a subsidiary of the Volvo Group, said it was investing in the Philadelphia-based company which develops high-power wireless charging systems for trucks, buses and … [Read more...]
New Deal Creates World’s Largest Gold Miner
Newmont Mining Corp. is buying Goldcorp Inc. to form the world's largest gold miner, report Bloomberg's Thomas Biesheuvel and Elena Mazneva. This deal and the recent acquisition of Randgold by Barrick will be followed by numerous smaller deals in response as both giants sell certain assets. Bloomberg reports: The deal will create a company that runs mines in the Americas, Australia and Ghana and exceeds Barrick-Randgold in scale, producing about 7.9 million ounces of gold a year. It also rivals Barrick’s purchase of Placer Dome Inc. as the gold-industry’s biggest takeover. That deal had a … [Read more...]
Democrats’ Opening Bid? 70% Tax Rates
Speaker of the House Nancy Pelosi hasn't even warmed up her gavel, but already the newest, and youngest member of her party's Congressional caucus, Alexandria Ocasio-Cortez, has suggested a 70% tax rate on earnings over $10 million. That's probably not the issue Pelosi thought she would have to explain right away to voters. John Harwood reports in CNBC: The top tax rate stood above 90 percent throughout the 1950s. But through deductions and tax avoidance, “taxes on the rich were not that much higher” then, the conservative Tax Foundation noted in a 2017 article. The top rate remained 70 … [Read more...]
Can Copper Recover without China?
Copper prices have been sliding as the Chinese economy has weakened. The question is, can copper recover even if the Chinese economy has not? Christopher Alessi and Amrith Ramkumar examine at the copper industry for The Wall Street Journal: Growth worries have recently focused on China, which is the world’s largest consumer of copper, accounting for about half of global demand, and is in engulfed in a tariff fight with the U.S. Apple cited weak Chinese demand in cutting its revenue target, a move that came following tepid Chinese manufacturing figures that showed a commonly-referenced … [Read more...]
Be the Master Chef of Your Own Unique Investment Recipe
Back in June of 1992 and today, I stress to my readers the importance of balance and diversity in their portfolios. Back then I wrote: Fine Balance From a Master Chef Did you happen to see the McIlhenny & Co. recent advertisement for the company’s Tabasco brand pepper sauce? The ad caught my eye because it ran a photo and culinary commentary from Susan Spicer, chef/owner of Bayona, a New Orleans restaurant most deserving of the recognition it is receiving. In the ad, Susan tells readers, “In my approach to creating dishes, balance is a primary concern. I love playing with the palette … [Read more...]
The Shutdown’s Real Lesson: Too much of Economy Hostage to Government
“The problem with the shutdown is not that President Trump is holding the government ‘hostage,’ as House Majority Leader Steny Hoyer said, but that the government has taken hostage of too much of the U.S. economy,” writes Chris Edwards editor of www.DownsizingGovernment.org at the Cato Institute, a Washington, DC.,-based think tank focused on limited government. When security at the nation’s 450 commercial airports depends on the government—a shutdown matters explains Edwards pointing out that a spokesman for the TSA screener’s union said this Tuesday: “Some of [my members] have already quit … [Read more...]
Truckers Reap the Rewards of Online Shopping Boom
With online shopping becoming more prolific for an array of different categories the trucking industry is reaping the rewards. You can now order everything from a couch to an outdoor kitchen and get it delivered and assembled. Bloomberg has the story. Wielding a cordless drill, Osborne hooked up all three appliances in about 45 minutes and sped off for the next home. Meanwhile, across the urban sprawl of North Texas, a colleague navigated a sofa bed down a tight hallway while another driver unpacked and assembled a patio table. The array of cargo would have been rare just a few years ago, … [Read more...]
Does Your Investment Advisor Take Legal Kickbacks behind Your Back?
When you seek investment council be sure you work with an investment boutique that’s required by law to act as your fiduciary. Ask the question: “Are you required by law to act as my fiduciary.” Do not accept any answer other than Y-E-S. Because too many professionals in this industry put themselves out there as “Investment Advisors” or “Financial Advisor” when in reality they are neither. In order to legally call yourself an investment advisor you are required to act as a fiduciary. So called “advisors” working for big Wall Street firms are not required by law to be your … [Read more...]
Home Health Devices are Hot
Home health care devices are hot. This year's consumer electronics show is packed with home health devices including a wrist band that checks your blood pressure and an band to track a baby's heart beat in-utero. “A lot of these companies are moving full steam ahead in terms of collecting data and using it to help the personalization of the customer,” said Anshel Sag, an analyst with Moor Insights & Strategy. “I just got an email about a bladder monitor.” Helping to drive this shift in the market are both the improvement in sensor accuracy, which increases a company’s likelihood of … [Read more...]