One of the suggestions for a blog post was: How do I select the companies or investments for you my clients?
Here are the characteristics that must be present in order of importance:
First and foremost is that the company must walk the talk. In other words what is said will be done. IF a business partner is sincere and possesses integrity they will stand out in a crowded field. In my books talk is cheap.
An example of integrity is how the investment company will talk about the stock market. I prefer to work with companies that acknowledge that the present scenario has some pitfalls and fragility, and what their professionals are doing to protect investors’ capital. Over optimism is cheap too. I have been in the business long enough to read between the lines, and interpret industry speak.
Secondly the companies that offer access to the investment professionals that manage your money will be preferred over those that do not. Access can take place through in person presentations, interactive webcasts, or blogs with the ability to leave a question for the blogger. The general investing public does not have access to this information. The idea is to have the ability to ask questions which is important when I evaluate the next desirable traits:
Discipline and depth. The investment manager will stick to his or her process no matter the state of the market or the latest fad in investing.
Any investment I choose almost always will have a proven history. I try to stay away from new investments. I have been in my career long enough to see which professionals have lasted, and who has faded away.
Cost is a factor as well. You want value for you money.
And I know the future of human race is dependent on sustainable and responsible investing, which are the companies that are providing innovative solutions to the challenges of resource management, population growth, energy efficiency, and scarcity.