Why Invest In The Berkshires – The Original And The Clones/Minis/Babies

ByQuantified Trading

Introduction and summary: Most investors know very well the story of Berkshire Hathaway and Warren Buffett. However, the many advantages of the Berkshire business model have some exciting features that we believe are less understood and very underrated. The article aims to look more into these features and why they matter. In short, by investing…

Dividends vs. Retained Earnings (Why Retaining Earnings Is Better Than Dividends)

ByQuantified Trading

Dividends vs. retained earnings – what is best from a shareholders perspective? In this article, I discuss dividends vs. retained earnings and where the capital compounds best:  in your hands or in the company’s hands. Distributions and subsequent reinvestments are an inefficient way of compounding! Given certain assumptions, retaining the earnings is better than distributing…