What is SP 500 & Why a 2017 Buffet Experiment Leads to FNILX?

The Standard and Poors 500 Index, a U.S. market benchmark, is quoted daily, with institutional and personal investments mirroring its ebbs and flows. In his 2017 Annual Letter to Shareholders, Mr. Warren Buffet shared findings of a financial experiment he conducted between 2008 and 2017. In this experiment, Mr. Buffet quantified the value in passively investing in the Standard and Poors 500 Index compared to having an energetic style. Passively Investing in the S&P 500 delivered a 2.0% better-annualized return. Launched in 2018, the Fidelity ZERO Large Cap Index Fund (FNILX) speaks to Mr. Buffets’ advice of investing in a “virtually cost-free” index fund. In reality, the FNILX Index Fund is cost-free, i.e., no expense ratio, an index fund that looks almost like the Standard and Poors 500 Index.

Impressive Retail Earnings. Walmart is Still So Cheap.

Walmart, Target, Home Depot, and Lowes reported and beat earnings estimates last week. For the past year, shares of Target, Home Depot, and Lowes have received much media attention for their share price performance, and rightfully so. So instead of looking at the three performers, I wanted to look at the laggard, Walmart Inc. In this post, I compare the number of retail locations to the Price to Sales Ratio to gauge the collective and highlight two headwinds that could derive positive results- An increase in SNAP benefits and Walmart Health. Included are four charts- WMT vs. TGT vs. HD vs. LOW Share Price Performance Since Jan 2020, Location Count by State, Net Sales from Q1 19 to Q2 21, and WMT vs. TGT vs. LOW vs. NOBL Share Price Performance Since Jan 2020.

Ahuacatl, Staple or Stock?

In this week’s journal entry, I write about Avocado. Its inclusion in the American pallet has led to the establishment of medical nomenclature called Avocado Hand, a disfigured import-export ratio that supports the insatiable domestic demand and a publicly traded company that one would be surprised as to how much they interact with. Image from Library of Congress.

How to look at your next $5 bill?

Ask not what A. Lincoln did for you, but ask what a Lincoln can do for you? A commonly used denomination, the humble $5 bill is the fourth most circulated denomination in America right after $100, $20, and $1. With the right platform and foresight, $5 can act less as the next amount for lunch money and an agent for new behavior.