Harry Newton's In Search of The Perfect Investment
Newton's In Search Of The Perfect Investment. Technology Investor.
8:30 AM EST, Thursday, October 4, 2007:
I love iShare EWA, which covers Australia. Two more iShares that are
interesting: EEM, which covers emerging markets and EEB, which
covers Brazil, Russia, India and China (i.e. BRIC). All have had big runs. But
the dollar continues to fall. And these economies continue to do well. Charts
for all three on a weekly basis:
neat, honest philosophy: A friend has a successful account with a
brokerage firm called Gilder Gagnon Howe & Co. in New York. They have independent
brokers managing discretionary client accounts. Gilder has a neat sales brochure
There are no safe stocks.
By taking research-based risks, we can, over the long-term earn above-average
returns on investments in common stocks.
Our job is to pick stocks; our clients' more difficult job is to stay the
Capital growth requires patience, and is achieved only over many years.
+ While many
investors try to create wealth, few succeed. The rest lose heart.
You can pick up
the full brochure here.
Garmin goes crashipoo. "So what happened to your 'inviolate'
15% stop loss rule?" asked a reader, after Garmin had dropped by more
than 20% and I hadn't sold.
I did what dumb
investors do. I fell in love with the company and its great products
(especially the c340). But Mr. Market no longer likes Garmin:
eventually sold my Garmin at $98.45. Had I followed my "inviolate"
15% Stop Loss Rule, I would have sold it at $103.70. Dumb me!
magazines lie, cheat and steal: Reader
James Herbert writes:
How timely your
mention of Business 2.0 magazine! We got the last issue in the mail yesterday
and am sorry that it's going the way of other failed enterprises. I can certainly
contribute to why the magazine hit the wall: One day, a few years ago, an
unsolicited copy of Business 2.0 arrived in our mailbox -- and the only reason
that we can surmise as to why we got it -- it was probably a perk of the trading
website that we belonged to. After all this time, we have never paid for or
been asked to pay for a subscription -- and we canceled the trading site membership
a very long time ago. No wonder they are losing money -- I wonder how many
subscriptions are actually paid for?
For years the
business model in trade magazines like Business 2.0 was make money on advertising,
lose money on subscriptions. You made more money advertising if you had more
subscribers. It's expensive to get subscribers legitimately -- mailing them
and dunning them for money or annual signatures (an audit bureau rule). So many
magazines simply sent the the magazine to anyone and everyone -- whether they
wanted the magazine, or God forbid, actually read it. Eventually the advertisers
found out and the rest is history. Business 2.0 is no more.
works, even in the publishing business.
You don't know about women.
Esquire interviews smart women and asks them for advice for men. This collection
came from actress, Melora Hardin:
It would be nice if just once you admitted you were unequivocally wrong and
we were absolutely right, with no conditions attached
+ We prefer
a man who's going to make $50 million to one who already has it. Women take
potential over security every time.
+ Women take
longer in the bathroom because, unlike men, we clean up after ourselves.
+ When we tell
you the new dress we bought was 50% off, you can just go ahead and mark it
up about 30%.
+ Even Harrison
Ford isn't cool with an earring.
+ We know it's
fun for you to come up behind us while we're washing dishes and grab our breasts.
Why not make it fun for us, too, and grab a dish while you're at it?
+ Male sperm are faster getting to the egg but die sooner; female sperm are
slower getting to the egg but live longer. See? It all starts at conception.
Dorothy and Edna, two " senior" widows, are talking.
nice George Johnson asked me out for a date. I know you went out with him last
week, and I wanted to talk with you about him before I give him my answer."
I'll tell you. He shows up at my apartment punctually at 7 P.M., dressed like
such a gentleman in a fine suit, and he brings me such beautiful flowers! Then
he takes me downstairs, and what's there but a luxury car... a limousine, uniformed
chauffeur and all. Then he takes me out for dinner... a marvelous dinner...
lobster, champagne, dessert, and after-dinner drinks. Then we go see a show.
Let me tell you,
Dorothy, I enjoyed it so much I could have just died from pleasure!
So then we are
coming back to my apartment and he turns into an ANIMAL.
he tears off my expensive new dress and has his way with me two times!"
gracious!... You are telling me I shouldn't go out with him?"
no, no... I'm just saying, wear an old dress!"
This column is about my personal search
for the perfect investment. I don't give investment advice. For that you have
to be registered with regulatory authorities, which I am not. I am a reporter
and an investor. I make my daily column -- Monday through Friday -- freely available
for three reasons: Writing is good for sorting things out in my brain. Second,
the column is research for a book I'm writing called "In Search of the
Perfect Investment." Third, I encourage my readers to send me their
ideas, concerns and experiences. That way we can all learn together. My email
address is .
You can't click on my email address. You have to re-type it . This protects
me from software scanning the Internet for email addresses to spam. I have no
role in choosing the Google ads. Thus I cannot endorse any, though some look
mighty interesting. If you click on a link, Google may send me money. Please
note I'm not suggesting you do. That money, if there is any, may help pay Claire's
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here and here.