Investment Philosophy

Don’t know how, or have the desire to manage your money, assets, 401k, IRA, or Portfolio? 

-You can let do it so you can focus on the things you are really good at. Why?

-Because, we get to know you and find ways to reflect your values in how you invest and we might just do it better than you ever knew was possible.

Here is How We Do It:

PHILOSOPHY- Self, Group, Globe:

SELF: We think people should first invest in themselves. This isn’t narcissistic or ever at the expense of others- it simply means you ‘put your oxygen mask on first’. With a shrink middle class, global economic/ political manipulation, and generations of people that have been trained to by rather than create their own happiness many clients need to primarily focus on paying down debt, escaping indentured servitude, and sometimes investing in their education or business (we can help with that).

GROUP: We then encourage people to invest in their local economy and tangible assets, to truly build community, relationships that transcend simple economics, and in actual businesses, buildings, groups, and places that help empower their environment where they live (We LOVE helping with this!).

GLOBE: Finally, with all that extra gain from how you utilize your space, time, and tribe we can help you look at the global impact you can make with your money. We do this by looking across the globe for the best investments from a perspective of yield as well as positive impact. We know that difference between creating jobs and creating self-reliant people, we know the difference between extorting the land and living with it, we know that both ‘sides’ of an economic transaction can benefit at the same time.

ACTION- This is how we do it:

DAILY: We monitor the aggregate holdings in our client’s portfolios through alerts or checking Google Finance and if it has moved significantly up or down we get curious and see if we can find out why. We also read the news, look at the indexes, and the top changes in price up & down to see if we can find any great opportunities. If we look at making changes to any holdings we see which clients have those holdings and notify them.

QUARTERLY: We use our custom programmed software to screen every Mutual Fund, ETF, and Exchange Traded Stock then look at the report to see if there are any holdings that we want to add to our client’s accounts. For clients that pay us to, we also look at their accounts and see if it is time to replace any of the holdings. We never trade without first running the idea’s past our clients and they have the power to do their own trading as well.

CONSISTENTLY: We are attending conferences, reading, and exploring news ways to invest. We even create our own deals and opportunities to empower clients and our communities to thrive together be empowering each other. When they are their own banks, landlords, farmers, and business owners ‘we raise a tide that lifts all boats.’

RESULTS- 

We want the whole world to see what we do and we own our decisions. At Koci Consulting we don’t claim to control the market, predict the future, or guarantee results- but we do commit to making the best possible decisions with the information at hand.

Below are 2 graphs that show the 10 year history of our favorite Mutual Funds/ETF’s in each asset class generated on 8/14/17.

Depending on risk tolerance- most of our portfolios end up modeling around Dot #3 or somewhere along if you drew a line between #2&#6. This means the portfolio has (Historicially) more return and less volitility than the S&P500.

20170814KCFavFunds_RiskReward10Y

We also correlation which seems to be much more complex after the last major market crash.

20170814KCFavFunds_CorrMatrix10Y

What to know what these funds are and/or to understand these graph’s better? Sounds like you would like to have a meeting;)

What Makes Us Different? 

*If they are profitable, we prefer to invest in companies that promote a better world. These include: renewable energy, organic farming, worker cooperatives, cooperative technology.

*We avoid companies that manipulate governments, abuse workers, and profit from addiction. We do this by:

-Not buying their Initial Public Offerings (When they raise money to start/expand the business)

-Only buying them when they are at a low (If we buy at a high then we reward the shareholder’s and executive’s poor choices)

-We take all dividends (profits from the company) and reinvest them into preferred companies.

-We vote as shareholders to makes these companies better global citizens.

*We have Professional Advisers available to help you trade on reason rather than emotion.

*Members can choose to trade with any Broker/Dealer; however, if they sign up with Scottrade we can place trades for them and bill directly out of your accounts.

What are our Criteria?

1) Return on Average Assets, Equity, and Other Profit Measures

     -Ideal is 20% or higher.
2) Dividends
     -Looking For a long history of rewarding shareholders even in down markets.
3) Book Value
    -We want to make sure if the company goes bankrupt that the shares still have value.
4) Technical Highs & Lows
    -We want to buy in the lower quarter price range and sell towards the top.
5) Balance Sheet
    -No more than 50% debt.
6) Income Statement
    -Want a positive trend.
7) Statement of Cash Flows
    -Want a positive trend.
8) Insider Trading
    -Are the executives of the business buying or selling their own shares? (We follow suit).
9) News
    -Are there know risks or explanations of irrational pricing.
10) Volume and Other Technicals
    -Can we see a reliable pattern of sentiment in the market as a whole?
Other Resources:

Want to Book a meeting?

To check my Calendar &/or schedule a meeting go to: https://doodle.com/nandi-pathefinder

I prefer 1 hour meetings starting at 10:30, 12:30, 14:00, 15:30, & 17:00 PST (UTC -8)

8 Responses to Investment Philosophy

  1. admin says:

    NEWSLETTER From KOCI CONSULTING 11/16/13
    It has been a pretty quiet year for stocks. While I have been monitoring the market daily, until now there have not been any opportunities worth mentioning. Here are the most important updates:
    1) The 3 major indexes of the market are at nearly the high’s that they were right before the crashes of 2001 and 2008. While I am not predicting a crash, I am compelled to remind everyone of this fact. If we need to look at your asset allocation or if you have any foreseen cashflow needs for the next year then now might be a good time to sell.

    2) HIGH PRICES- These are stocks which you may have purchased. While I am not advising to sell, they are at a high price and it may be a good time to start cashing in.
    -Pandora radio (P)- Top executives started selling their personal shares earlier this month
    -I considered buying a PUT but they were too expensive and you would risk $1 to make $1 on the technical low. But if they Crashed below $25 a share then you would be very happy.
    -Freddie & Fannie (FNMA & FMCC)- It looks like they are stablizing as a company, however in May they jumped to $4 a share then buy to below $2. It they keep climbing the next highs to watch are $15,$30, and $70.
    -Glatfelter (GLT)- Dividends and income are low- There may be better income sources out there.
    -Facebook (FB)- Many executives are selling their personal shares
    -Cole REIT (COLE)- Some of you purchase a non-traded REIT- guess what- they are traded now and your $10 is now worth about $13- Congratulations!

    3) Possible Buys- None of these are a Strong recommendation but they are Stocks we are Watching
    -FSLR & SUNE- had big drops last month and are coming back. FSLR has decent financials, SUNE is troubled
    -PETS- Pet meds online- decent price and great dividends of 4.45%
    -VSI- If they go back down to $41 are a maybe, but with no dividends they are a risk if you are market bullish
    -LULU- Lululemon- If they were paying a dividend I would be more interested.
    – TSLA- is a total wildcard, great vision, poor financials the could go either way.

    4) This email is a little “rugged”- Thank you for you patience as I am working not making these updates more visually appealing. If anyone wants the full 10 point analysis for any of these stocks please let me know. Also if you have suggestions on how to make these updates more beneficial to you, I would love the feedback.
    For those of you that are Scottrade Clients remember that I can transact trades for you at $25 each and access your information to better facilitate helping you with decisions.

  2. admin says:

    NEWSLETTER from KOCICONSULTING 12/31/13
    Hi Fellow Stock Co-OPers,

    There are two moderate opportunities- Not strong on Dividends (but they might be well priced and may produce in the future)

    1) FTNT (Fortinet Inc) Makes Internet Security Products

    -Current $19 a share

    -It’s low since the split in 2011 is $16. High is $28

    -No Dividends, Moderate Return on Assets

    -Some Insider Sales from the last year @ around $20 a share

    2) MYGN (Myriad Genetics Inc) Makes Custom Medications

    -Current $20 a share and on a landslide down (Low is $5-$14) (High $35-40)

    -Great return on Assets & Equity

    -Currently Defending a Lawsuit

    -2 Insider Sales in Nov & some earlier in year.

    -No Dividend

    -$9~ book value Equity/Shares

    OTHER MENTIONS

    VRX- is WAY up and isn’t paying a Dividend- maybe time to rebalance?

    CEO- Came down a bit to $186 (Not the exciting $160 low) but it has a 3.94% Dividend

    LULU- Still no Dividend, but it is a low price at $58- lowest since split in 2011 was ~$45

    UBNT- Is on a rise & is very high, Good financials- but they haven’t declared the year end Dividend and have rising debt I am waiting to see what happens.

    If you want more info and/or complete stock assessment sheets please email Dean he will send them over.

    Feel free to forward this newletter to friends that haven’t seen it before and encourage them to sign up.

    http://www.kociconsulting.com/financial-planning/stock-co-op/

  3. admin says:

    NEWSLETTER from KOCICONSULTING 02/03/14
    Hi Fellow Stock Co-OPers,

    The virtually the entire market dropped over 2% today. Is this signaling the end of this run since 2008? Despite the price reducation across the board- these 2 stocks stood out:

    Apple Computers (AAPL) Went on sale last week dropping from above $550 to ~$500 a share. This means their current dividend yield is roughly 2.43%. They had a small drop in revenues and small increase in debt, but their return on Equity and Assets is approximitly 20% & 40% respectively. There were insider sales around November last year and 1 sell at the end of the year and end of January. Most analysts are calling AAPL a Strong Buy and it didn’t drop today but rather had a small gain.

    International Game Tech. (IGT) is a new stock here at the CO-OP. They have a modest 3.12% dividend and went on sale last week dropping from $18 to $14 dollars and are still on a small decline. This is likely due to it missing its earning estimates and having a slight slump in it’s financials. Still it has a 7.09% return on assets and 26.93% return on equity. Lots of insiders are exercising their options but only 1 had a sale. Most analysts are suggesting a Hold and some are a Strong Buy (one is a Moderate Sell)

    If you want more info and/or complete stock assessment sheets please email Dean he will send them over.

    Feel free to forward this newletter to friends that haven’t seen it before and encourage them to sign up.

    http://www.kociconsulting.com/financial-planning/stock-co-op/

  4. admin says:

    NEWSLETTER From 3/31/14

    Hi Fellow Stock Co-OPers,

    UPDATES:

    The market continues to fluctuate and in the later part of March the Nasdaq crossed over the S&P500 as well as the Dow Jones. (Please see the image on Goggle Finance dating back to February 5th) The Nasdaq, by far, has many more stocks than the other 2 indexes this might mean that the larger market is getting priced differently or that it is experiencing the correction more severely than the others. There are numerous theories regarding if this has meaning or not. Since we are “feeling bearish” we thought it was important enough to mention.

    Nasdaq Cross http://app.chamberzoom.com/users/myteam31601/Media8.png?82

    To help organize the recommendations of this portfolio we have purchased new software and screening tools. We look forward to showing you more performance reports in the future. We will also be maintaining 4 lists of stocks:

    BUYS- New or Re-newed positive options of stocks we want to hold.

    SELLS- This is for prior BUYS that we feel can be better reallocated.

    HONORABLE MENTIONS- These are stocks that are interesting but we aren’t ready to buy.

    VET- These are new stocks we are researching and haven’t published info on yet.

    We will be publishing a public list of our Honorable Mentions and Sells on the website. The vetting and current holdings lists are proprietary and available upon request to Koci Consulting Clients.

    Many of your have lots of new funds to invest. We will be doing a screen of the entire market and look forward to sharing with you what turns up.

    Other News on Freddie and Fannie: We found the following article from Business Week that there are plans to “dismantle” these 2 organizations. It is still unclear how current stockholders would be treated. This may signal another sign to sell- but it would be an easier decision once there is more information. We will keep you posted.

    The price has been swinging from $3 to almost $6 a share. We advised a buy at around $.30 and $.80 cents a share so many of you may want to consider cashing out a portion of your gains. http://www.businessweek.com/news/2014-03-11/senators-release-details-of-new-bill-eliminating-fannie-mae

    SELLS:

    SCCO (Southern Copper Corp)- There is a noticeable decline in SCCO’s dividend over the past 2 years. Further research shows a company with increasing debt, smaller margins, and dropping cash flow from operations. On the contrary- German Larrea Motta Velasco (Chairman of the Board) bought $70,000 of shares at $27.12. 5. Does this mean there is a turnaround coming or is German trying to help investor’s keep the faith? 5 analysts say buy, 3 say hold according to MSNMoney. This article also shows the price of copper dropping- they believe due to a decline in Manufacturing. http://etfdailynews.com/2014/03/26/a-great-buying-opportunity-in-copper/ It may be wise to consider reducing shares and reallocating to other opportunities.

    MYGN- (Myriad Genetics)- We cautiously recommend a buy back in December 2013 at $20 a share. This holding has gone up to $40 and is now at $34 a share. Since it doesn’t pay I dividend we recommend considering “Cashing Out” but almost remind that holds under a year may be subject to the higher rate of Short Term Capital gains. Despite news of new partnerships we see strong insider sales. http://www.zacks.com/stock/news/127878/myriad-genetics-inks-hrd-alliance-with-tesaro

    BUYS:

    GNC (That places that sells supplements and also http://www.drugstore.com & http://www.LuckyVitamin.com)

    -Analyst 9 Buys and 1 sell

    -Newer 2 year 1.45% dividend but growing

    -Strong Return on equity & assets 10.02% & 31.22% in 2013

    -Slight raise in debt and decrease in quarterly sales but cash flows from operations is growing.

    KSU (Kansas City Southern Rail)-

    -Analysts recommend Holds some buys- 1 sell

    -Operating income on the incline Investing on the drop.

    – The price was near $125 and recently fell. It is now at $102.

    -1.10% Dividend that is only a couple years old but is increasing.

    -Financials look decent- most note worth is an increase in operational Cashflow, a slight bump in debt and decrease in income.

    SFUN (SouFun Holdings Ltd)- Operates a real estate internet portal in China. In 2013 they had a 25.9% return on assets and 94.74% return on equity. Income is rapidly raising debt is slowly decreasing from 30%. They only concerns are that insider sales data is not available and all cash flow trends have converged according to the Google chart (which may be in error).

    SYMC (Symantec Corporation)- Yes those people that protect your computer from viruses

    -CEO was terminated and we see a drop in price from almost $27 to just under $20.

    -Financials look decent, 3% Dividend (including a bonus .05 cents last year).

    -2013 return on assets 5.56% and Equity 14.41%

    -No insider trades except options exercised.

    HONORABLE MENTIONS:

    CPL (CPFL Energia S.A.)- A Brazilian energy company (Thermo & Hydro electric)- may continue its current $4.93 dividend rate in April- however there are some insider sales given this and a lack of financial data we will just observe this holding.

    VSI (Vitamin Shoppe. Inc.)- Dropped down to near $40 a share- but still doesn’t pay a dividend.

    STX (Seagate Technology PLC)- Looks great except for its record high price of $56 a share and lots of insider Sells. We will observe the stock and check back in later.

    GMCR (Green Mountian Coffee)-

    -First Dividend of .25 cents in January

    -Coke bought 10% @$74 and is promoting Kuerig Cold- making “pods” for Coke

    -Insiders mostly selling- one purchased.

    -Analysts divided between buy & hold

    MEI (Methode Electronics) – recent insider sales, and high price means only 1.17 yield on otherwise good dividend.

    HIMAX (Integrated Circuit Company)- They held on with reduced dividends of in ’11&’12 then in 2013 came back with a .24 dividend. Their all time high price was close to $15- now at $11.52, but because they have spent most of their time under $5 we will see what happens this year with the dividend as well as the industry demand.

    DIDN’T PASS VET:

    GRMN (Garmin)- Good 3% DIV but insider sales.

    CHE- (Chemed- VITAS Hospice & Rotor Rooter)

    -Great but High priced & Insider Sales. Dividend only 2%

    GNRC- (Generators)

    -High insider Sells and Growing Operation income- but also Debt

    URS- (Engineering- )

    -OK- but raising debt & Slim Margins. 1.87% current dividend.

    JE- ( Just Energy)

    -Natural Gas & electricity Canada-Debt is rapidly accelerating.

    -10% Dividend Paid Monthly! But dropped from .10 to .07 last year.

    -1 year on market New CEO

    AFSI (Amtrust Financial Services, Inc.) an International Insurer

    -They have had two 11:10 splits (one in 2012 and one in 2013)?

    -They have very high debt (over 80%) but are an insurance company so this is not atypical)

    -3 analysts say buy & 1 says hold

    -There were 3 insider sales this month which means this might be a high price. It did drop down to $30 a share from over $40.

    *It is important to note that this newsletter is informational and relies on secondary sources for it’s information. Opinions should not be considered individual advice and we recommend you always discuss trades with your advisor or Broker/Dealer.

    If you want more info and/or complete stock assessment sheets please email Dean he will send them over.

    Feel free to forward this newsletter to friends that haven’t seen it before and encourage them to sign up.

    http://www.kociconsulting.com/financial-planning/stock-co-op/

  5. My Homepage says:

    … [Trackback]…

    [...] Read More: kociconsulting.com/financial-planning/stock-co-op/ [...]…

  6. admin says:

    081914 Stock Co Op NEWSLETTER
    MARKET UPDATE:
    The last peak of the market was on July 3rd and after a dip of 3-4% the first 2 weeks of August, the market is once again at an all-time high. After reviewing over 50 stocks this quarter we have also noticed more than a few insides sales of stocks in many of the holdings we have recommended in the past. Most of these look like executives “selling high” this causes us to be bearish in general as well as in a few cases to recommend selling that holding.
    Given how many holdings we have reviewed well will be giving a short synopsis of the major reasons for our opinion. If you want full research on any holding please let us know. Here is a screen shot of our new sorting system. https://www.dropbox.com/s/kvntypp3fg1nsk0/Sheet%20shot%20of%20Stock%20sorter%20081914.PNG
    THE SELLS:
    As a reminder this is simply saying that there may be better opportunities for you investments.
    MPW- Drastic drops in Revenue, Increase in debt, and some insider sells.
    V- No debt (Ironically) and great performance- but no dividend, record high price, and insiders are not keeping their options.
    FTNT- No Dividend. It was a recommended buy in a 12/31/13 for $19 a share, there is some news about future developments but not impressive earnings. Current price= $26 AKA 36% return in 8 months.
    AZN – Strong Dividend but High price and noticeable down trend in income.
    SIRI- Buy recommended at .80 cents- now we see a big sell off by insiders at $3.40. Current price is $3.56 it may go higher but it could also be a great time to cash in on that 345% return.
    SFUN- Right after our buy recommendation there was a 5:1 split. They may have a similar dividend, but some may prefer to wait and see while not invested. $14 price when the buy recommendation was published & current price is now $11.75. So maybe ride it out.
    THE BUYS:
    MEI (Methode Electronics)- Low 1% dividend, but looks like a good growth opportunity.
    SPLS (Staples)- Is retail dead? Well it is certainly on sale. Analysts don’t favor it and it has a teacher boycott, but it might be a good opportunity since that have corporate sales.
    RYN (Rayonier)- They had a big drop and a decent 3-4% dividend. They had a bad quarter, but otherwise fine financials.
    NUS (Nu Skin)- Looks like a Network Marketing company but they pay a decent 2-3% dividend. They had a bad quarter and have double the inventory they need.
    DSW (Shoes)- They had a big price drop and a 2-3% dividend with great financial trends other than a slight drop in this last quarter’s cashflow from operating income.
    RISKY BUYS:
    VSI- No dividend, so it is a pure technical play- but they have good financials and are on sale.
    AI- 13% dividend but it is mortgage backed securities- didn’t we learn this lesson already?
    BKCC & others- These are 9-10% dividends but are “closed end funds” meaning it is a company or holding vehicle that buys stocks or other investments and can therefore be volatile.
    HONORABLE MENTIONS:
    These are holdings that we like but aren’t paying enough of a dividend or are too highly priced to be recommended fully.
    MSFT- Almost 3% dividend but is at a high price, has negative press, and some insider sells.
    TWX- Unclear financial trends and low dividend
    PIR- Mixed financials but might be a good buy opportunity once stock price hits bottom.

    *It is important to note that this newsletter is informational and relies on secondary sources for its information. Opinions should not be considered individual advice and we recommend you always discuss trades with your advisor or Broker/Dealer.
    If you want more info and/or complete stock assessment sheets please email Dean he will send them over.
    Feel free to forward this newsletter to friends that haven’t seen it before and encourage them to sign up.
    http://www.kociconsulting.com/financial-planning/stock-co-op/

  7. admin says:

    The Newsletter is coming out today with 11 buys and 7 sells for the ends of the year. If you aren’t subscribed please you the Paypal button above to sign up for only $10 a month. Also The newsletter is free for any clients that sign up for an annual retainer.

  8. Smithk142 says:

    I really enjoy the blog article.Really looking forward to read more. Fantastic. eaadfedgedkgdefg

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>

(Spamcheck Enabled)