schin

I actually like looking at data that is 1-2 years old, so I can see what the management was saying during that time and fast forward to now, seeing if they actually implemented their strategy and the financials improved accordingly. I also like 10-15 years plus of data because I want to see how a business operations through a full business cycle (peaks and troughs). Most recently, I am most interested in how management works through COVID (2020s), which is out of their control. Or in your scenario above, a weak yen. In due time, there will be a stronger yen. As for the 2024 version, It's like looking at a chess board and seeing the optionality. If you're given the same data as Warren Buffett and don't see the "play".. then oh well. It's like working with quarterbacks and asking them what they see during their reads.... Tom Brady and other elite QBs will see stuff pre-snap and post-snap that the Bryce Youngs of this world will not see. You could run into "resulting" like Annie Duke.. but, I still think it s a good table top exercise. It's a regression testing on your thought/investing process. If you can see the fat pitch then, you should feel confident in applying the same analysis to the current 2026 version... if it's still available.

@chenisheng I didn't get the full tour. I just talked to one of their analysts. They have this really cool Nike Shoe Dog art work in the lobby.

True, a lot of States and banks printed their own money.... But, for a mature economy, you would think there should be the appearance of impartiality...the appearance at least... although, Goldman Sachs is generally embedded in the US government..LOL.

I would feel it would be weird if JPM and Bank of America would make US currency...so, seeing these 100s issues by HSBC and Bank of China is interesting in so many ways. I love the vibe of HK.

If you're in Hong Kong, definitely check out: Lily Bookshop (surprisingly large, english, business section, most used books are in $20-40USD range) -- large for HK standards, we're not talking about a US superstore...LOL My BookRoom (small business, sections, but found some good used bios at a good price - $10-20 USD range) The Commercial Press Tsim Sha Tsui - Small, but focused business section. For the first two, you don't want to go if you are claustrophobic.

You can get the latest version on Kindle, but this is their last printed, hardcopy (2024 Winter). I visited their HQ office (Toyo Keizai) to get this and talk to one of their analysts. Always cool to explore different corners of the financial world. Warren said he used this reference prior to buying this Japanese basket of stocks. Flipping through it, I can see the value.

@Saluki - Do you expect your former regulator to have more teeth on some of they craziness in these markets? Or are their hands tried now? The administrations under Biden and Trump are vastly different. Did you feel it during your time there?

@Red Lion - I don't like lax customer service and accounting... it's a recipe for fraud and counterparty risk.

I have tested a Kashi and Polymarket account... and their infrastructure for customer service is not that great. Especially, when you're trying to deposit, cash out, there can be some latency. I am not talking about minutes. I'm talking about unsettle or uncleared what my profit/loss is in days and weeks. So, i worry about counterparty risk or just making sure the books balance out. There is no customer service number is a huge issue. You're on your own and it could go against you.

@skanjete - I visited Prague and it is magical. But, can one get a good enough job there like NYC, Silicon Valley? My son and I saw the Prague Astronomical Clock (The Orloj) in Old Town Square is widely considered one of the city's most underwhelming tourist experiences. lol. But, the people were nice.

If it's not a sneakhead finish eating the tadpoles, it's another invasive specie that ravishes an eco-system. Laws of the jungle.

Cheap drones are the new Molotov cocktails for their age. We have fast fashion in retail and now fast destruction in defense.

@Xerxes - I have the Li-Ka Shing book. Rags to Riches story, but turns out he was connected through his wife... so, in reality it is riches to more riches. But, definitely will look into those other books. I'll be in HK next month and hope I can find some non-Western/US centric business books -- just to see Eastern business theory. Thanks for the recommendations. HSBC was noted in Studwell's book as the financier for some of these tycoons.

@Peregrine Where do Chinese fit into this? lol

@Ronchong @pricingpower - Thanks for your comments.

He should have hunkered down and not try to raise cash... Ride out the wave. As a microcap, you didn't have any control via board seats or influence him with control? Again, this is all in hindsight, but I'm glad you're trying to rebuild.

@DegenerateGambler - With a PE of .7, I don't know why the CEO wouldn't just allow the cash to build up. There was no need for a forced sale. He could have just allowed it to compound and buy back stock. That's really bad in terms of capital allocation. Every year, he was getting his stock price back... eventually, the stock market would reward it.. Cash don't lie.

@DegenerateGambler - You didn't put some on the side... so, you didn't have this risk of ruin situation?

I just heard about this on a sports talk show today and found this article. Fascinating. https://sports.yahoo.com/horse-racing/article/kentucky-derby-2026-how-algorithms-are-changing-horse-betting--and-outraging-gamblers-in-the-process-132352101.html

I was reviewing the different data services subscriptions on IBKR. Does anyone use Level 2 or any paid subscriptions for options or non-US markets? My options are 10-20 minutes delayed, but the spreads is so wide in general...but, I wonder if there's much value for a low-volume options trader like me. I guess the larger question is do people get a lot of value from advanced data services from any platform, if you're not day trading? Or even as a value investor -- are you just looking at being roughly right versus precisely wrong?

@Ice77 - What stock would that be? I haven't read the Santa Monica Letters, but is it referenced in one of them above?

@thepupil - I was trying to make parallels between early democracies in the SE/HK relative to the robber barons in the US. The early robber barons definitely used a lot of political clout to defend their markets and access new ones. Yet, I think one could have made money aligning themselves with JP Morgan and Rockerfeller companies and do well. It doesn't seem to be the case in certain SE countries. I have family in HK and I knew there was corruption and "special" deals via preferred land sales... but, never put into context that it was this bad. The glass ceiling is that thick. I'm still trying to reconcile his stance on Singapore and the Lee Kuan Yew family. I've been watching videos of "Harry" since Munger highlighted the Singapore marvel. Now this book is making me re-think some of the angles and motives there. Again.... I am surprised at the marketing of HK and Singapore as global money centers, but Joe's stance on how they came to be -- is very dark and murky. It's interesting to get a counter-argument. Again, I would love to see/hear that these bear traps are getting resolved, but I wonder since there's not enough transparency and enforcement/teeth in those markets.... is it really turning for good? Generally, you get that from activist investors and P/Es.. but, Japan (which is not included in the book), HK, Singapore are markets that are very insider base to prevent the spotlight on inefficiencies. It's not even like early Ben Graham investments where they can get 10-20% and vote out the board. The rule of law and their SEC is weak. There's still a huge disadvantage to outside investors. The only markets that Joe mentioned might be investable are S. Korea and Taiwan possibly. Again, I think both have protected markets. But, Coupang's failure in Japan, Singapore, yet success in Taiwan seem to support that point... but, SE asian investment are really put into a too hard pile me... based on this book.

@John Hjorth - If you like, I do not mind sending you my book. Just DM your address and I'll ship you my copy. I'll even autograph it for you, but that might depreciate it value more! LOL

@John Hjorth I read the one on the left, but I believe the content is the same. For "How Asia Works" -- this is an interesting comment I found “A good read for anyone who wants to understand what actually determines whether a developing economy will succeed.” —Bill Gates, “Top 5 Books of the Year” It must have been a slow year... LOL. Joe provides an interesting perspective and some behind the scenes details that you normally don't get in the West. For example, I've been trying to the get autobiography of Morris Chang, Founder of TSMC. I emailed the publisher and see if they will do a translation to no-avail. I've also purchased and bought the Li-Ka Shing book.. which is all PR and marketing.... a lovefest for the richest person in HK. I like how Joe Studwell gives you a different take. I wish there was more written about asian CEOs.

Decent book that talks about moguls and elites in Southeast Asia and Hong Kong and how they acquired their wealth. It does talk about how they leveraged government sway to extend their wealth and how some of their greed caused the Asian Financial Crisis. Nothing new in that respect, but nobody really put it all in one book. There are a few useful tidbits I added to my investment playbook. For example, interesting points out why low P/E stocks in HK such as Wheelock, Chueng Kong Holdings, CK Hutchison with 10% insider ownership ... seem like you're aligned to the insiders, but they use private JVs to siphon money back to their families. So, essentially, they're the ultimate bear traps. They're making off their partners, not with their partners. The writing style is academic and a tough slog at times. I probably won't re-read this in the future, but definitely interesting how they used certain transactions to screw the population, government and also, fellow stakeholders. Also, reaffirms my general thesis on banks as conduits of government and all need access to them to get into the billionaires club.