Tips by Ric Dillon

On the behavioral-finance side, one of many inefficiencies comes from people anchoring on the past. People assume something is cheap, say, just...
The reason [GE traded at $55 in 2001] was because I’d estimate that 95% of the dollars invested in the U.S. stock market were either indexed or...
People often say they emphasize the quality of management or the competitive moat of a company, but the problem with some of those generalizations is...
Borrowing from Warren Buffett, as we so often do, we see growth and value as all part of the same equation – to separate them strikes us as kind of...
Tags: value, growth
We have fairly strict diversification rules so that we don’t get overexposed to any one sector or industry. We state those limits in absolute terms,...
We think shorting makes us better analysts. Charlie Munger says you really understand a company when you can articulate the negative scenario better...
If one of our portfolio managers has one great year, it doesn’t factor at all into how he or she is paid. That could just be a random event. I think...
We’ll make mistakes, but it won’t be because of lack of discipline or focus or because of conflicts of interest. No equity portfolio manager or...