Circle of Competence Issue #49
Quote of the week: "The ultimate purpose of life, mind, and human striving: to deploy energy and information to fight back the tide of entropy and carve out refuges of beneficial order." —Steven Pinker
FOOD FOR THOUGHT
A Foolish Conversation
This week I had the opportunity to speak with David Gardner on The Motley Fool's Rule Breaker Investing Podcast. Thank you David for a fun day at Fool HQ and for the invitation to share some of my back story and experiences! Check out the podcast episode here.
Late Cycle Investing
I listened to Brookfield Asset Management's (BAM) earnings call this week and wanted to share a great tidbit that I think applies to both the individual as well as corporate investor. There are some principles in this question and response that are timeless for both parties (sorry for the analyst speak here):
Dean Wilkinson (Analyst)
"Thanks. Good morning, everyone. Bruce, in your comment on the market environment, looking out you made the observation which we generally agree with it. We're likely to see a recession at some point in next few years and certainly that's what the bond yields are indicating to us. So against that and given $34 billion of liquidity and what could be another banner year of fundraising, are you happy to sort of take the foot off the accelerator a bit on acquisitions and let the puck come to you or how are you thinking about that in the context of what could be a slowing environment?"
Bruce Flatt (CEO of Brookfield Asset Management)