Linkfest: March 01, 2018

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What I am reading today

Is India's Growth Bounce Big Enough? (Bloomberg View: India)
Why Timing Is — Almost — Everything (Knowledge@Wharton)


"My nightmare job is the 'invisible until you f**k up' position." @profgalloway on Career Risk:pic.twitter.com/RHqJkuKkdg (Devin Haran)
The hidden cost of congestion (Economist: Graphic Detail)
Nota bene: Chris Hughes's statistics (Felix Salmon)
These 6 Charts Show How the World is Improving (Visual Capitalist)
Why the war in Syria is hotting up (Economist Explains)
Best Bet in Crypto Now Is "Pick and Shovel" Names (Daily Reckoning)
Net Neutrality: The Complete WIRED Guide (Wired)
Investing and Optimism (Subramoney)

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Warren Buffett's 2017 Letter: Takeaways for Indian Investors

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Warren Buffett's shareholder letter for the year 2017 was released a few days back. I am going to take some of the themes in this year's letter and provide an Indian context and takeaway. (For a collection of past shareholder letters organised and annotated around major themes, please check - ' The Essays of Warren Buffett ' by Lawrence Cunningham ). 1. Valuations are expensive. So Buffett didn't do any big deals last year. Others may ignore the level of prices and pay any price to do deals. But not the Oracle of Omaha. - Indian valuations are stretched too. The Sensex P/E currently stands at 23.xx. High PEs tend to foreshadow lower returns in the next few years, till valuations moderate. A wonderful table compiled by Stableinvestor.com  shows this trade-off very well. With a starting PE of 24+ (which is very close to current levels), the 3 year return has been -5% historically. The takeaway for Indian investors is: valuations are stretched. The thing to do now...
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