Scarlett Financial

In the dynamic world of equity investing, the quest for long-term success requires a deeper understanding of the factors that drive market returns.

While traditional value investing, focused on acquiring undervalued businesses, has been a prominent strategy, it's essential to recognise its limitations in today's market landscape.

The true path to sustainable wealth creation lies in embracing the concept of compounding returns and identifying the structural winners – the exceptional companies that possess enduring competitive advantages and exhibit consistent growth over extended periods of time. By focusing on these structural winners, investors can harness the power of compounding returns and achieve their long-term financial goals.

Embrace a new paradigm in equity investing. Read the full article here: https://scarlettfinancial.com.au/equity-returns-are-driven-by-the-few-not-the-average-back-the-winners/

Equity returns are driven by the few not the average - back the winners! - Scarlett Financial Over the past decade and a half, we have moved to a globalised, internet and smart phone-enabled, world. The market has become a globalised “winner takes all market”. Power law probability distributions describe the situation where only a small percentage of a certain population produce most of ...

RBA increases the cash rate by 25 basis points, up to 4.35% - Scarlett Financial The Reserve Bank of Australia (RBA) has increased the official cash rate by 25 basis points, taking it to 4.35%. So just how much will this year’s Melbourne Cup day rate hike increase your monthly repayments? Some more tough news for mortgage holders around the country today. Despite the official ...

One-in-three first home buyers use guarantee schemes - Scarlett Financial Know anyone who wants to buy their first home? A new report confirms that low deposit schemes are getting younger buyers into a place of their own sooner. First home buyers are ignoring headlines warning that it can take years to save a deposit. Instead, they’re flocking to guarantee schemes that ...