{"id":1029,"date":"2021-11-21T19:04:58","date_gmt":"2021-11-21T18:04:58","guid":{"rendered":"https:\/\/monblogeur.tech\/index.php\/2021\/11\/21\/facebook-is-the-new-tobacco-why-this-star-fund-manager-is-choosing-stocks-differently-marketwatch\/"},"modified":"2021-11-21T19:04:58","modified_gmt":"2021-11-21T18:04:58","slug":"facebook-is-the-new-tobacco-why-this-star-fund-manager-is-choosing-stocks-differently-marketwatch","status":"publish","type":"post","link":"https:\/\/monblogeur.tech\/index.php\/2021\/11\/21\/facebook-is-the-new-tobacco-why-this-star-fund-manager-is-choosing-stocks-differently-marketwatch\/","title":{"rendered":"&#039;Facebook is the new tobacco&#039; \u2014 why this star fund manager is choosing stocks differently &#8211; MarketWatch"},"content":{"rendered":"<div class=\"cfbc967f0983488262956e73eca9483a\" data-index=\"1\" style=\"float: none; margin:10px 0 10px 0; text-align:center;\">\n<script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3859091246952232\" crossorigin=\"anonymous\"><\/script>\r\n<!-- blok -->\r\n<ins class=\"adsbygoogle\" data-ad-client=\"ca-pub-3859091246952232\" data-ad-slot=\"1334354390\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\r\n\n<\/div>\n<p>Guy Spier once<a href=\"https:\/\/www.marketwatch.com\/story\/what-lunch-with-warren-buffett-taught-me-about-investing-and-life-2018-06-11?mod=article_inline\" class=\"icon none\" rel=\"follow\" > jointly bid more than $600,000 to eat lunch with Warren Buffett<\/a>, but these days he\u2019s willing to talk investments by Zoom with an Indian investment group.<br \/>The Zurich-based managing partner for Aquamarine Capital Management said he\u2019s approaching investing differently\u00a0now.\u00a0<br \/>\u201cI had a debate with a friend the other day about Facebook,\u201d <a href=\"https:\/\/www.youtube.com\/watch?v=Yj99ea3dRq8\" target=\"_blank\" class=\"icon none\" rel=\"nofollow noopener\">Spier said in a video released this week.<\/a>\u00a0 \u201cI suggested to him, Facebook is the new tobacco.\u201d<br \/>Yes, the company is wonderful at connecting people, but there are teenaged girls who will develop eating disorders, he said, while others will fall victim to pedophilia organized on their platforms. (Facebook, now called Meta           <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/US\/XNAS\/FB\" class=\"qt-chip positive\" href=\"\/investing\/stock\/FB?mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">FB,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/205064656\/composite\" class=\"positive\">+1.95%<\/bg-quote><\/a><span>,<\/span>        concedes its products are bad for body image but says its research shows teens benefit from being able to share issues they\u2019re encountering, and that it is spending billions of dollars on safety and security.)\u00a0<br \/>More broadly, Spier said he\u2019s looking at how companies treat all their stakeholders.<br \/>\u201cIn the past I would have looked for companies\u00a0that are the most profitable in one way or another. I would have looked at companies that have the highest return on capital, highest returns, highest margins, and that would\u00a0have been an indicator of a company that is a good company to invest in,\u201d said the author of \u201cEducation of a Value Investor.\u201d<br \/>\u201cToday, I no longer look for the highest returns because it\u2019s very likely that if you earn extremely high returns, somebody is getting ripped off, somebody in your stakeholder group is not a happy camper but they just can\u2019t do anything about it.\u201d<br \/>Instead, he looks at what companies are profitable but can continue to conduct their business on a growing basis, where everybody who interacts with the company is happy that the company exists.<br \/>Companies lock in their cloud business with Amazon.com          <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/US\/XNAS\/AMZN\" class=\"qt-chip negative\" href=\"\/investing\/stock\/AMZN?mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">AMZN,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210331248\/composite\" class=\"negative\">-0.53%<\/bg-quote><\/a><span>,<\/span>        he says, because they know the corporate culture there will keep prices as low as they possibly can.<br \/>Costco Wholesale          <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/US\/XNAS\/COST\" class=\"qt-chip positive\" href=\"\/investing\/stock\/COST?mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">COST,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/201191698\/composite\" class=\"positive\">+0.83%<\/bg-quote><\/a>        is a company that\u2019s great for customers, but also suppliers, who make up for thin margins with high volumes.<br \/>On sizing, he starts a position with somewhat under 5% of the portfolio, which he then tries to leave alone.\u00a0<br \/>Going back to Amazon, he said one mistake is thinking they may go the lifetime of its business without ever declaring a profit. \u201cIt turns out I didn\u2019t really understand the nature of its reinvestment in something that is extraordinarily profitable.\u201d<br \/>Forget about balance sheet valuation, and income statements and cash flow statements again won\u2019t provide a good guide to value. That leaves \u201cfar more subtle\u201d indicators like lifetime value of a customer and customer acquisition costs.\u00a0<br \/>Revenue is the one metric that\u2019s not going to be subject to much manipulation, so a company that trades on 100 times revenue \u2014 like Snowflake           <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/US\/XNYS\/SNOW\" class=\"qt-chip negative\" href=\"\/investing\/stock\/SNOW?mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">SNOW,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/220991541\/composite\" class=\"negative\">-1.33%<\/bg-quote><\/a>        \u2014 is hard for an investor to make much of a profit on.<br \/>\u201cYes, valuations are high, and that makes life difficult,\u201d Spier said.<br \/>Aquamarine\u2019s top holdings, according to its 13-F filing, are Berkshire Hathaway          <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/US\/XNYS\/BRK.B\" class=\"qt-chip negative\" href=\"\/investing\/stock\/BRK.B?mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">BRK.B,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/200060694\/composite\" class=\"negative\">-0.23%<\/bg-quote><\/a><span>,<\/span>        American Express          <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/US\/XNYS\/AXP\" class=\"qt-chip negative\" href=\"\/investing\/stock\/AXP?mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">AXP,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/203805826\/composite\" class=\"negative\">-1.52%<\/bg-quote><\/a><span>,<\/span>        Bank of America          <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/US\/XNYS\/BAC\" class=\"qt-chip negative\" href=\"\/investing\/stock\/BAC?mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">BAC,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/200894270\/composite\" class=\"negative\">-1.99%<\/bg-quote><\/a>        and Mastercard          <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/US\/XNYS\/MA\" class=\"qt-chip negative\" href=\"\/investing\/stock\/MA?mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">MA,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/207581792\/composite\" class=\"negative\">-2.44%<\/bg-quote><\/a><span>.<\/span>       <br \/>Spier recently told CNBC how he\u2019s received exposure to Chinese tech giant Tencent          <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/HK\/XHKG\/700\" class=\"qt-chip negative\" href=\"\/investing\/stock\/700?countryCode=HK&amp;mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">700,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/204605823\/delayed\" class=\"negative\">-0.16%<\/bg-quote><\/a>        by investing in technology investor Prosus          <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/NL\/XAMS\/PRX\" class=\"qt-chip positive\" href=\"\/investing\/stock\/PRX?countryCode=NL&amp;mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">PRX,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/214038022\/delayed\" class=\"positive\">+0.49%<\/bg-quote><\/a><span>.<\/span>         Spier said Prosus parent Naspers           <a data-track-hover=\"QuotePeek\" data-charting-symbol=\"STOCK\/ZA\/XJSE\/NPN\" class=\"qt-chip negative\" href=\"\/investing\/stock\/NPN?countryCode=ZA&amp;mod=MW_story_quote\" target=\"_blank\" rel=\"noopener\">NPN,         <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/205954517\/delayed\" class=\"negative\">-0.01%<\/bg-quote><\/a>        communicates to investors in a \u201cclear and open way.\u201d<br \/>Markets are pushing for a faster response by the Federal Reserve, while consumer sentiment gets hit hard by concerns about the lack of policy responses to inflation.<br \/>Steven Goldstein is based in London and responsible for MarketWatch&rsquo;s coverage of financial markets in Europe, with a particular focus on global macro and commodities. Previously, he was Washington bureau chief, directing MarketWatch&rsquo;s economic, political and regulatory coverage. Follow Steve on Twitter: @MKTWgoldstein.<\/p>\n<p><a href=\"https:\/\/www.marketwatch.com\/story\/facebook-is-the-new-tobacco-this-star-fund-manager-wants-to-change-how-he-values-companies-11637162250\">source<\/a><\/p>\n<!--CusAds0-->\n<div style=\"font-size: 0px; height: 0px; line-height: 0px; margin: 0; padding: 0; clear: both;\"><\/div>","protected":false},"excerpt":{"rendered":"<p>Guy Spier once jointly bid more than $600,000 to eat lunch with Warren Buffett, but these days he\u2019s willing to talk investments by Zoom with an Indian investment group.The Zurich-based managing partner for Aquamarine Capital Management said he\u2019s approaching investing differently\u00a0now.\u00a0\u201cI had a debate with a friend the other day about Facebook,\u201d Spier said in [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"googlesitekit_rrm_CAow1sXXCw:productID":"","_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[],"class_list":["post-1029","post","type-post","status-publish","format-standard","hentry","category-non-classe"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/posts\/1029","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/comments?post=1029"}],"version-history":[{"count":0,"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/posts\/1029\/revisions"}],"wp:attachment":[{"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/media?parent=1029"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/categories?post=1029"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/monblogeur.tech\/index.php\/wp-json\/wp\/v2\/tags?post=1029"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}