Weekly Thoughts 18 January 2013

“In order to finish first, first you have to finish.” – Stirling Moss.

Some sportsman express this thought in another way; “In order to finish first, you have to at least enter the race.”

There have been some good returns over the past year.  Anywhere from 15% up to 29% in the full equity funds.  But you’d have to have been in the game to get them.  They are not something that you can get in hindsight.  This is why it’s so important for us to invest when we have money and / or on a monthly basis and then let time take its course.  Of course we don’t only look at one year.  That would be incorrect and the results are opportune, not necessarily repeated.  For example, over the last year, both Foord and Marriott’s Equity funds have far outstripped Allan Gray’s Equity fund.  (will maybe write more about this next week)  But over 10 years to end December, they’ve all returned around 20% per annum, after costs.  But you needed to have been in the race.  This is the point here.  Not the numbers.

My office’s neighbourhood is still without Telkom services.  The application for the new cable was apparently only submitted yesterday, about 10 days after they were stolen…..?!  So the only communications remain to my laptop computer and my cell phone.  I chatted with another business owner yesterday (my electrician) about our options to one day not rely on Telkom.  They seem limited unless we have tens of thousands of Rands to put wireless technology into our spaces.