Sunday, January 10, 2016

"Identifying Businesses exhibiting the Capacity to Suffer"

Our Second Article on CNBC TV18 Website - "Identifying Businesses exhibiting the Capacity to Suffer" - 

Over the last few years we have realised that investors fail to appreciate great businesses and managements which display the capacity to suffer.

Capacity to suffer is the management's ability to endure through early burdens on reported profits in short run in order to advance their long term competitive advantage.

“Capacity to Suffer” is a key ingredient for long term wealth creation and one must not make the mistake of punishing companies in the short run for choosing pain to develop long term competitive advantage.

We wrote briefly about it earlier on

The current article is an attempt to briefly summarise a few key points from our presentations on the aforesaid topic this year...(Thanks - Nikhil / /(‪#‎PerfectResearch‬ )

The author (Mr. Ashish Kila) would like to thank his entire team, for their extensive help in preparation of the above note.
  • Nothing in this article is, or should be construed as, investment advice. The stocks mentioned in the post are for educational purpose only and are not recommendations, the purpose of this post is to show capacity to suffer as a framework which an investor can apply to any company.
  • This is not an offer (or solicitation of an offer) to buy/sell the securities/instruments mentioned.
  • All the posts on this blog, including this one, are for educational and discussion purposes only.
  • Please do not take buy/sell or any investment decision based on articles you read on the blog. These are only meant to provide information and initiate discussion. Final decision is and always should be, yours and only yours.
  • We may or may not have a position in the stocks discussed on this blog

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