One way to mitigate the impact of inflation is to purchase stocks of publicly listed companies which we have relationship with as consumers.
General rule of thumb works something like this. If public transport costs go up, buy companies like SMRT and Comfort Delgro. You will get back the delta expenses in terms of higher dividend payout. It's a simple logic.
Higher fixed line telephone costs, buy the Telcos.
Rising electricity costs, too bad. Our GENCOs are not publicly listed (yet).
So, stop whinning and complaining about cost increases. Nobody will listen nor care, if you belong to the sandwich layer (that makes most of us). You have to do something, and you can.
This blog aims to help all those who are interested to learn more about the economies and the stock market, so that they will be better investors.
Wednesday, October 8, 2008
Subscribe to:
Post Comments (Atom)
Archive
-
▼
2008
(82)
-
▼
October
(24)
- What to See / Do in Melbourne
- KM Workshop with David Gurteen
- SG's Workers Quarter
- Warren Buffet: Buy American. I Am.
- MAS guarantees all bank deposits
- Story of the Eagle
- How the Interbank Market works
- European bank rescue
- US Govt's bank rescue
- Beginning of the End?
- Oil's slippery slide
- Insights from Paul Volcker
- Inflation is gravity defying
- SIA - Still A Great Way To Fly
- Advise for Investors
- Impact of A$ fluctuations on earnings
- Food for Thought
- David Bensimon's eye into the future
- My Stock Picks
- Fighting Inflation
- Assessing Leverage
- Assessing Liquidity
- Assessing Profitability
- Inflation - The Silent Killer
-
▼
October
(24)
No comments:
Post a Comment