Market Updates

Peru General Observations

Crossroads / Corner of the Dead Peru has been an important South American crossroads for at least 600 years. The province of Ayacucho along with its capital namesake is a focal point of the country with a strategic trading location between Lima (the nation’s capital & largest city with ~1/3 of Peru’s population) an another historically integral hub, Cuzco. To understand just how long the area has been important to this continent, the oldest known inhabited cave in South America, Pikimachay1, is located here. The cave holds extensive signs of habitation including harvested Giant Sloth … Read More

2010 Asset Allocation Update

We are focused on investing in areas of the world where we find the following: Growing populations Good savings and good capital investment Good manufacturing and/or resource extraction Healthful banking systems Low deleveraging requirements Low probability for ‘fat left tail’ events In 2009 the world saw the darkest so far of the “great recession”. Only Asia and parts of Africa exhibited economic experiences (orange) associated with healthy economies. Of interest here is our idea of economies based in emerging, rather than mature, bureaucracy. Most of the orange areas have … Read More