Some Invesing Strategies in Macro Market

Hello everyone! Today i want to share some invest strategies with you! Hope it can help you!

1.

The Quality Growth investing strategy summarized 🧠

Buy high-quality companies:

- Growth +10%

- ROIC +15%

- Margins above industry

- Cash conversion +75%

- Interest coverage +10x

- FCF yield > Risk-Free Rate

- Low dilution

Let's continue👇🏼

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2.

Francois Rochon has beaten the market for 30 years by investing in quality market leaders at a fair price. Let’s break down his strategy:

Financial Strength Rochon looks for companies with a consistent return on equity above 15%. The earnings per share of the business must grow by 10% annually, and the debt-to-profit ratio should be less than 4. This ensures: ·He picks high-quality companies (ROE <15%) ·He picks companies that grow (EPS +10%) ·He picks companies that are not levered (debt/profit <4)

Business model Rochon looks for strong businesses that dominate their market, he wants to invest in the market leader with a deep and widening competitive advantage. In addition, he wants a business that is less susceptible to cyclicality. This ensures: ·He picks a proven business model (Market leader) ·He picks a company that has something unique and hard to replicate (Competitive advantage) ·He picks companies that have stable earnings over long time periods (Low cyclicality)

Management Team Rochon looks for companies where insiders own a lot of the shares. He looks for competent management that makes constructive acquisitions to increase the quality of the business, not to inflate their ego. In addition, he looks for managers that are good capital allocators. This ensures: ·He picks management with skin in the game (Insider ownership) ·He picks competent management (Constructive acquisitions) ·He picks a high return on invested capital business (Good capital allocators)

Market valuation Rochon uses a simple valuation method to determine what a company should be worth in 5 years. He tries to purchase the business at half the estimated value in 5 years to achieve a hurdle rate of 15%.

I made a free document detailing this process here, comment “Value” below and I will DM you the document. The approach entails: · Rochon only invests in these great businesses when they are attractive in price · He gets a great risk-adjusted return · He sometimes misses some great opportunities Rochon’s holdings:

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$SPDR S&P 500 ETF Trust(SPY)$ $S&P 500(.SPX)$

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