Perspectives
The True Value of Gold
September, 2024
We have had many questions about gold over the past few months and thought it would be useful to explain in a little more detail our thinking on the asset and our thoughts on its role in a portfolio moving forward. The allure of gold is understandable albeit slightly flawed. Gold is a stable element […]
Crowded trades and unintended consequences
August, 2024
Our approach to investment is based on two simple pillars: buy growing cash flows at reasonable prices diversify by buying assets that become more valuable when investors get nervous We cannot forecast how and when market volatility will occur, however we can ensure that we are not allocated to crowded trades which do not meet […]
I’m Afraid There’s No Money!
August, 2024
The recent dour fiscal reports from the Treasury under the new stewardship of Rachel Reeves recall what is said to be the most expensive joke in British political history. In 2010, Liam Byrne (then Chief Secretary to the Treasury) left a note to Philip Hammond, the incoming Chancellor to effect that “I’m afraid there’s no […]
Mr Market will offer you a price, you don’t have to take it
August, 2024
Over the course of a few days’ investors have experienced significant volatility in global financial markets. The Japanese equity market’s TOPIX index fell by over 12% on Monday, marking the largest drop in this major index in 37 years, before bouncing back by over 9% on Tuesday. This turmoil followed weak US economic data last […]
Free Lunches and Tourist Taxes
August, 2024
In many industries whether it’s aeronautics, engineering or finance often the only way to make sense of large complex and interacting sets of data is to build a model. There are many models of the modern economy: classical; Keynesian; monetarist and neoliberal to name a few, but back in 1949 an economist at the London […]
Investment Outlook
July, 2024
US politics continues to take centre stage in the news and this will likely remain the case for the foreseeable future. The political volatility is only one aspects to consider when investing however and investments have been said to ‘climb a wall of worry’. This week we hosted our quarterly Tacit Thought Live webinar in […]
Will Getting Britain Building Solve Our Housing Problems?
July, 2024
If you have ever had the “builders in,” you will know that that in solving one problem, they frequently cause another necessitating more work and more expense. The newly installed Labour administration has made “Growth” the keystone of its economic platform and it has placed “Getting Britain Building,” 1.5 million new homes over the new […]
Anxiety is rife, but investing still pays
July, 2024
We regularly review the principles which underpin our investment approach, and as long-term objective-based investors, we must be cognisant of the dangers of recency bias in our decision making. In behavioural economics, recency bias (also known as availability bias) is the tendency for people to overweight new information or events without considering the objective probabilities […]
“…And After Many a Summer Dies the Swan.”
July, 2024
Aldous Huxley’s satire on ageing becomes more prescient with literally every passing year. The world is getting older and whilst a small coterie of “tech bro’s” in Silicon Valley regard age as a “sickness” amenable to cure, in the real world, there is not much evidence that the seven ages of man has changed much […]
What could go wrong?
June, 2024
The Tacit approach to running money focuses very much on growing sustainable cash flows which in turn leads to higher asset prices. This has generated superior returns to our peers in 12 out of the 13 full calendar years since Tacit was launched almost 14 years ago in our Total Return Strategy, which has the […]