“We adopted a focused strategy of core businesses in Citicorp that play to our unique historic strengths as a global bank that will provide strong growth and attractive returns over the long-term... And we've identified non-core assets we have shed.” LongPlayStrongGrowthTermReturnUniqueStrategyFocusedCoreAttractiveLong TermAssetsShedAdoptedHistoric Author:Michael Corbat
“I indeed do respect all people for the positives in their life. Sadly, there comes a time of diminishing returns in the balance. At the end of the day, my respect is reserved for those solidly in the asset column of mankind.” PeopleEndsMankindReturnBalanceThe End Of The DayAssetsColumnsReservedThere Comes A TimeDiminishing Returns Author:Ted Nugent
“On average, 90 percent of the variability of returns and 100 percent of the absolute level of return is explained by asset allocation.” LevelsReturnPercentAbsolutesInvestingAverageAssetsAllocationVariabilityAsset Allocation Author:Roger G. Ibbotson
“When does money run out of time? The countdown begins when investable assets pose too much risk for too little return; when lenders desert credit markets for other alternatives such as cash or real assets.” LittlesDoeRealRunningToo MuchRiskReturnCreditAlternativesDesertAssetsCashLendersCountdown Author:Bill Gross
“I certainly agree that capital is not a one-dimensional object, and that the return on capital takes very different forms for different assets or different people.” PeopleDifferentFormObjectsReturnAgreeAssetsDifferent Peoples Author:Thomas Piketty
“If you look at the balance sheet, the US is heavily in debt. If you look at the income account - the amount of interest the US pays abroad - it is almost exactly equal to the amount of interest that it receives from abroad. American assets held abroad are earning a higher rate of return than foreign assets held here.” IfsLooksInterestPayReturnAmountBalanceHigherEqualAccountsRateDebtIncomeAssetsEarningSheetsBalance Sheets Author:Milton Friedman
“Size will hurt returns. Look at Berkshire Hathaway - the last five things Warren has done have generated returns that are splendid by historical standards, but now give him $100 billion in assets and measure outcomes across all of it, it doesn't look so good. We can only buy big positions, and the only time we can get big positions is during a horrible period of decline or stasis. That really doesn't happen very often.” GivingLooksDoneBigsHappensLastsHurtFivePositionReturnPeriodsStandardsHistoricalSizeBillionsHorribleOutcomesAssetsDeclineOnly TimeSplendidStasis Author:Charlie Munger
“Unlike cheap stocks, inexpensive asset classes have a lower chance of big drawdowns (broad asset classes don't go to zero) and a higher probability of average or better returns.” BigsChanceClassReturnHigherAverageZeroBroadsAssetsProbabilityInexpensive Author:Barry Ritholtz