Showing posts from January, 2023

Guest Article: Michelle Marki's Investing Practice

Today’s article is a guest post from Michelle Marki, who is my co-host on the Investing Mastermind Podcast . Michelle is a certified Project Management Professional (PMP) with a Master of Science in Biomedical Informatics, and on her YouTube channel and blog , Michelle seeks to help others achieve financial freedom through the educational lessons she shares from Warren Buffett-style investing and personal finance best practices. I hope you will enjoy this piece she shared about her investing practice. Hey there investing friends, I'm Michelle Marki. Today I’m sharing my investing practice and personal finance habits and routines with you because knowledge is power and maybe you'll get some ideas from some of what I'm sharing that you might want to include in your own routine of how you go about learning about investing. When I’m having my morning coffee and breakfast, I usually like to visit Wall Street Journal at and check out the morning headlines across US and W

How Does Warren Buffett Find Outstanding Businesses?

How does Buffett find outstanding businesses like Apple? This was recently revealed by one of the top managers in Warren Buffett’s company Berkshire Hathaway – Todd Combs. We can be grateful to Todd because now we have greater insights into Buffett’s formula that has given an outstanding return of 20% for over half a century.  Me in front of Warren Buffett's house, July 2022 We’ve known about the Combs and Buffett Saturday afternoon meetings at Buffett’s house in Omaha Nebraska, but we haven’t had insights into what is being discussed in those meetings. That’s what Todd Combs recently revealed at the “Graham & Dodd Annual Breakfast”.  According to Combs the meetings in Buffett’s house often Warren Buffett frequently asks these three questions: How many names in the S&P are going to be 15x earnings in the next 12 months?  How many are going to earn more in five years (using a 90% confidence interval),  How many will compound at 7% (using a 50% confidence interval)?” At time

Should I Buy Expensive Stocks Now That They’re Cheaper?

“Quality stocks are typically super expensive, so I usually don’t buy them because I don’t have that kind of money. But maybe I should think like you, and now that they’re cheaper I should go ahead and buy!”, a young woman suggested while we were talking about investing. I’ve asked followers on Instagram for some input to new blog posts and that has led to some excellent conversations. And it was interesting to hear how my message about buying quality at a low price can be perceived.  Photo by Karolina Grabowska I was glad we had had that conversation because the stock price will not tell you whether a company is quality or not . The stocks that come with a high buy price are not necessarily quality companies, but I can see how people might think that. Because in the “real world” – the world outside the stock market, the quality and price often (not always) are connected. A high-quality leather wallet is often more expensive than a low-quality artificial leather wallet. It’s not always