This manager commentary provides insight into our philosophy and the key tenets that have consistently underpinned our value investing approach. These excerpts are not all-encompassing, although in total they should provide a clear sense of “how we think” and our application of a value philosophy as pioneered by—among others—Ben Graham, Warren Buffett, and Charlie Munger.
The purpose of C&B Notes is to pass along ideas, concepts, stories, and information that are informing and influencing our worldview and “latticework of mental models.”
Given genetically modified foods' unpopularity and questionable economics, Monsanto is using traditional crossbreeding to create fruits and vegetables with characteristics attractive to both consumers and grocers - longer shelf/drawer life, an array of serving sizes, higher antioxidant levels, crisper texture, etc. They are, however, using modern tools and processes to significantly quicken the development of these foods.
Bill and Melinda Gates dedicate all of their recently-released annual letter to take down three oft-encountered myths that they believe “keep the world from accelerating success against poverty and disease,” (1) poor countries are doomed to stay poor, (2) foreign aid is a big waste, and (3) saving lives leads to overpopulation.
There is no substitute for being on the ground to assess how businesses are really performing. Accordingly, international and domestic travel is a critical component of our research. This Travelogue includes snippets from some of these international trips.