High Quality

From Jeremy Grantham's 1st quarter letter:

The global equity markets taken together are moderately overpriced, and the U.S. part is now very overpriced but not nearly so bad as it could be. Surprisingly, within the U.S. the large high quality companies are still a little cheap, having been left totally behind in the rally. They are unlikely to do very well in a bubbly environment, however long it lasts, but should be great in declines and in the end should win. A potential plus for quality franchise stocks in the next few years is that they are far more exposed to emerging countries...

Many of best global businesses, especially those that make and distribute the great branded small-ticket consumer products (or FMCG) on a big scale, reliably produce high return on capital. Some, while not necessarily extremely cheap, are priced to produce solid returns at lower risk than the market as a whole.

 Adam
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High Quality
High Quality
Reviewed by Pisstol Aer
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Rating : 4.5