Tuesday August 10, 2010
Benj Gallander, M.B.A., has been investing in stocks for over 30 years. He specializes in starting businesses and corporate turnarounds.
Gallander is the author of The Uncommon Investor III: How to Earn Superior Returns in the Stock Market Despite Everything, The Contrarian Investor's 13: How to Earn Superior Returns in the Stock Market and The Canadian Small Business Survival Guide.
Ben Stadelmann is a software designer with about 25 years' experience in the accounting, petroleum, transportation, health care and legal industries.
We also write regular columns for The Globe and Mail and Canadian MoneySaver, appear frequently on BNN, and have appeared on CNN and on such programs as Pamela Wallin Live and CBC This Morning.
Our investing philosophy:
* concentrate on turnaround situations and stocks which are currently unpopular but are likely to regain their lustre
* focus on stocks that have the ability to increase in value by a minimum of 50 percent
* carefully analyze corporations' financial statements, concentrating on debt ratios and book values
* analyze management's ability to achieve stated goals
* invest only in organizations that have existed for at least ten years
* often pick takeover candidates well before takeovers occur, for near-optimal returns
* normally sell a minimum of 50 percent of a stock upon achievement of our target, while "market timing" the remainder
* practise patient investing while ignoring the daily pulse of the market
* advocate diversification
* remain independent of any broker, corporation or financial institution
* put our money where our mouth is by notifying readers of the Contra the Heard investment letter only of stocks that we actually buy
* strictly limit our readership to 1,000 subscribers
* appreciate stocks that pay regular dividends
* acknowledge a responsibility to help those that are less fortunate