Client Portals

ARTICLES

Written by Max & John Osbon

Weekly Articles by Osbon Capital Management:

Too Concentrated in One Stock?

Take Advantage of Exchange Funds for Large Single Positions

Jul 16, 2019 - John Osbon ( 5 mins to read)

If you hold a significant portion of your assets in a single security — perhaps through a savvy investment, stock options or inheritance — you may feel a bit trapped. You want to diversify, but know that selling your stake will trigger a sizable capital gains tax bill. There’s good news. You have another option that allows diversification, delays capital gains consequences and offers ongoing income — an exchange fund. Exchange funds are specifically designed to solve the problems associated…

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The Just-In-Time Economy

Jul 10, 2019 - Max Osbon ( 5 mins to read)

In recent weeks we’ve been writing about productivity and what it means for the economy and market performance. One key ingredient in productivity for many firms is the just-in-time production model. Some forward-thinking people believe that just-in-time businesses will smooth out or even eventually eliminate recessions. They have a good point. Just in time – the practice of optimally delivering a product almost immediately after it is ordered — makes companies more flexible, efficient and responsive. It’s hard to overstate…

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Productivity Part Two

The US economy is growing steadily

Jun 26, 2019 - John Osbon ( 6 mins to read)

Last week Max Osbon wrote about the coming productivity surge. This week I am going to write about how good our current productivity is and the key productivity dates coming this Summer. Three days in July might reveal how productivity and the US economy are doing much better than the conventional wisdom believes. At Osbon Capital we are looking at the market reaction ahead of time rather than the actual numbers for insight. Productivity plays out on two levels – in…

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The Hidden Productivity Boom

Jun 19, 2019 - Max Osbon ( 6 mins to read)

GDP growth is the clearest sign of a healthy economy, however it is difficult to grow GDP without population growth and productivity gains. With improving productivity, more people can do more things in less time and for less money. There are two kinds of productivity: labor and multi-factor. We need both kinds to grow. Both are thought to be at their limits now. The reality is quite different. In the case of a long-lasting productivity boom, equity returns would have…

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Breaking Up Is Hard To Do

Regulation is even harder

Jun 11, 2019 - John Osbon ( 6 mins to read)

Senator and presidential candidate Elizabeth Warren fired the first shot across the tech bow with a call on March 8th to “break up big tech.” On June 3rd, the government entered the fray, announcing antitrust investigations into Amazon, Apple, Facebook and Google. Microsoft, the biggest tech company by market value, was a conspicuous non-mention. The four stocks had mixed price results from down -9% to up +5% during that period. Microsoft was up +9% over the same span. How will…

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Fear du Jour

Fears turn over like the seasons change

Jun 5, 2019 - John Osbon ( 6 mins to read)

A trade war that continues to expand, with more countries involved and louder saber rattling. An unpredictable president. Uneven corporate earnings. An approaching election with 25 candidates, each with his or her own policies, prejudices and priorities. A stalemate in Washington, leaving important initiatives like infrastructure stranded at the curb. It’s a lot. No wonder so many people are worried, driving the market down six weeks in a row. But does all this fear make sense? What’s it mean for…

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Our Favorite Tools For Personal Payments and Cash Flow

The Latest Providers We Use To Make Payments Easy, Modern and Painless

May 28, 2019 - John Osbon ( 5 mins to read)

When it comes to paying for goods and services you have many choices these days. The least attractive (besides the quickly disappearing handwritten check) is physical cash, even for small purchases. Over time it has simply become easier to make purchases without paper or coins. In the post-cash era, new payment providers and startups are fighting to gain users and credibility. That means lots of promotions, free trials and millennial-oriented advertising. Beyond the marketing, here is what we’ve found works…

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Four Points to Consider When Holding Debt

May 22, 2019 - Max Osbon ( 5 mins to read)

There are many ways to borrow money. It could be a mortgage, personal line of credit from a bank, home equity line of credit (HELOC), student loan or a personal loan. When done properly, investors can leverage debt to their benefit. While lenders may make efforts to differentiate their offerings, what matters above all else is the rate you’re paying to service the debt. Let’s take a look at the range of interest rates and three other key elements to…

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The Fiduciary Care Checklist

May 15, 2019 - Max Osbon ( 6 mins to read)

Last week’s Beyond Meat IPO was stellar as the Uber IPO was about to arrive. Then Uber flopped big time. And new tariffs with China sent markets straight down. Events like these can make you wonder what steps you need to take, if any, and which information is practical and useful. Fiduciaries think about this every day. Here’s a checklist for fiduciary care of a portfolio. Classify every item in a portfolio Classifying assets is more art than science. It’s…

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