Kennon-Green & Co. Global Asset Management, Wealth Management, and Investment Advisory

Eli Lilly and the Insanity of Foreign Taxes

Eli Lilly and the Insanity of Foreign Taxes

I’m going through the corporate bond filings of pharmaceutical giant Eli Lilly just out of curiosity.  They have a huge patent cliff coming up, during which time as much as 40% of their revenue base will be exposed to generic competition.  I wondered what it would do to the risk metrics on the senior bonds so I pulled the Moody’s rating and reading over the figures as I listen to an old 1970s song called Snookeroo.

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Saving and Investing Money from Lowering Power Usage Electric Utility Bill

My Objective: To Take $2.4 Million from the Stockholders of KCPL Over the Rest of My Natural Life Expectancy

Since the energy saving program 4 months ago, the real world results are exceeding projections.  Thank you, again, to those of you who wrote me with suggestions!  I estimated that the energy efficient light bulbs alone would save an average of 288 kWh per month, or 3,456 Kwh per year.  They are actually saving 317 kWh per month, or a run rate of 3,804 kWh per year.  That means my net cash savings are around $410 per annum. Over the next 25 years, if I put it to work at average rates of return, it will add an extra $40,300+ in net worth to my family’s balance sheet.  By the end of my natural life expectancy, it will add $933,800+ in extra wealth to my family’s balance sheet.

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The Energy Saving Investigation Continues

The Energy Saving Investigation Continues!

Thank you all for the amazing comments and suggestions you left on my post about my investigative project with the weird kWh figures I was getting from my utility company.  I’ve been so obsessed with the project I haven’t had time to write individual responses, but I did read every one of them and, in many cases, add it to a task list to check and / or immediately go out and spend some cash on a device that could help narrow down the problem.

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Silent Trust Funds and FAFSA Financial Aid

Don’t Silent Trust Funds Constitute a Massive Loophole in Financial Aid Calculations?

My morning was spent reading the New Hampshire Bar Journal, Winter 2010 edition because I was interested in a piece by Joseph F. McDonald, III called Migrating Trusts to New Hampshire: The “Why” and the “How”.  New Hampshire, along with a very few other states, allows the existence of something known as a “silent trust” or “quiet trust”. It made me realize: I think a person could use these to drive a truck through the college financial aid process.

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One of the Most Important Lessons About Life and Making Money You Can Ever Learn

In 1927, Hugh Roy Cullen was approached by Jim West, a wealthy lumberman who had invested in projects with Cullen in the past.  On a Saturday, West called Cullen to his downtown Houston office, where he made the following offer: I’ve got $3,000,000 lying around.  And I’ve got the West Production Company, which don’t amount…

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Net Worth and Income By Education Level

Household Income, Net Worth, and Unemployment Rates By Education Level

The most recent statistics on household income, net worth, and unemployment, sorted by education level, are really interesting.  Following our discussion about the splits that have emerged along geographic fault lines in the electoral body, I thought it would be important to highlight the economic differences and how enormous the income inequality is for the…

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Kennon-Green & Co. Global Asset Management, Wealth Management, and Investment Advisory