Tiffany and Company Investment Kennon-Green

Tiffany & Company Valuation – Five Years Later

Almost five years ago, Tiffany & Company was glittering at time when much of the corporate world was still mired in misery from devastating losses and the implosion of Wall Street. Based on the annual report for the prior year, 2010, worldwide net sales had risen by 12% on a constant-exchange-rate basis, reaching $3,085,290,000. After-tax profits were up 39% from the year before, 2009, when the developed world had gone through the worst meltdown since the Great Depression, coming in at $368,403,000.

Portfolio Weightings and Construction

Pay Attention to the Weightings of Your Individual Holdings When Constructing a Portfolio

One of the things that worries me from a risk management perspective is investors who don’t know what they own or their actual, real portfolio weightings. Sometimes, I’ll hear new investors say, “I own stocks” or “I own mutual funds” but neither is an answer. Those aren’t the relevant details. The real question: “In which enterprises, on what terms, and at what price has the money been invested, laid out, and exchanged?”. Much of everything else is a smokescreen serving to obfuscate reality. It’s risk-adjusted reward we’re after; reward measured in after-tax, net-of-inflation real purchasing power.

Vanguard Tax Fraud Allegations Case

Vanguard Accused of Dodging Nearly $35 Billion in Taxes – Expense Ratios May Need to Quadruple According to Expert Report Submitted to IRS

From August 2008 to June 2013, David Danon was an associate attorney in the tax department at the Vanguard Group. According to a whistleblower lawsuit filed with the State of New York, which served as the basis for additional whistleblower actions filed with the State of Texas, the State of California, the Securities and Exchange Commission and the Internal Revenue Service, Danon was silenced, and ultimately sent packing, after he persistently warned management that Vanguard was committing massive tax abuse by using a combination of legal entities and improper pricing structure; an arrangement that went back 40 years. Danon claims that others who had raised similar concerns had also left the firm after facing a backlash for refusing to toe the line on what they believed was illegal behavior.

Coca-Cola DRIP UTMA Age of Maturity

My Youngest Sister’s Coca-Cola UTMA Matured: A Celebration Dinner

My Youngest Sister’s Coca-Cola UTMA Matured: A Celebration Dinner At long last, the day has arrived.  My youngest sister, twelve years my junior, turned 21.  This means the UTMA gift I made to her through an initial birthday transfer of a framed share of The Coca-Cola Company, and that my parents largely funded via the Coca-Cola Direct Stock Purchase…

How Joe Campbell Found Himself $106,445.56 In Debt to His Broker in a Matter of Minutes Because He Didn’t Understand the Risks of Shorting Stock

One of the major themes running through my body of work, both on this site and at Investing for Beginners, can be summed up in the statement, “Know your risks”. I hammer it home all the time; “risk-adjusted return”, talk about remote-probability events, explaining how much of wealth building is learning to “tilt probabilities in [your] favor”, admonishment to never invest in something you don’t fully understand and couldn’t explain to a Kindergartener in a couple of sentences. Consider this real-life tragedy a morality tale that can help you protect your own family.

I’ve Published Six New Investing Articles Over at

Aaron and I have been so busy with the upgrades to the sporting goods business, which should be done in another 7 to 10 business days if all goes according to plan and the re-platforming is completed without a hitch, as well as laying the groundwork for the new wealth management business we’re launching so people can invest alongside us (which some of you sussed out but on which I have not, yet, commented as we are still working through the specific fee structure, terms, and conditions on which we are willing to accept private clients who want me to allocate their money, which we need to have set in stone before we file the regulatory paperwork), I haven’t had much time to write after publishing that 6,100 word post on investing in the oil majors.