Register For Our Mailing List

Register to receive our free weekly newsletter including editorials.

Home / 500

New eBook: the best part of my fund's investment process

The next free eBook in our series marks the 500th Edition of Firstlinks

Fund manager investment processes vary widely, from the top-down to the bottom-up, the qualitative to the quantitative, the growth to the value, even the intuition and the finger-in-the-air. Price should always matter, as Warren Buffett said, "A too-high purchase price for the stock of an excellent company can undo the effects of a subsequent decade of favourable business developments."

We asked a group of about 30 fund managers we have dealt with for many years to consider their entire investment process and drill down into what drives the most success, asking:   

“What part of your investment process has contributed most to identifying winners?”

Answers varied from the specific to the general with plenty of stock examples.

Thanks especially to the sponsors of Firstlinks who not only share their investing experience and knowledge in their articles, but enable free access to our newsletter and website for the circa 100,000 monthly active readers who make around two million pageviews a year.

Firstlinks continues to give priority to informing and educating ahead of clicks and advertorials, and thanks to all our readers for your interest.

Many thanks to Assistant Editor, Leisa Bell, for liaising with all the fund managers and producing this eBook full of different and insightful perspectives on managing money. Click on the book for a copy.

  •   15 March 2023
  • 5
  •      
  •   
5 Comments
Warren Bird
March 16, 2023

Couldn't help but notice one contribution to the e-book in particular. With the overnight collapse of Credit Suisse's shareprice and concerns about a major financial institution rearing their ugly head, Brad Dunn from Daintree used that firms recent sale of CS bonds from its portfolio as an example of how the process works. Not only is that a good call, but the illustration of credit risk assessment and portfolio risk management working together is a great reinforcement of the sort of messages I've tried to convey over the years. Even highly rated issuers of bonds can get into trouble and you need diversification and vigilance to make sure they don't blow you up. Managed funds do that far better than individuals can.

michael
March 17, 2023

A very interesting mix of attitudes, with rarely spoken ways of not following the crowd. E.g. Chad Padowitz refusing to meet management.

Jeff O
March 17, 2023

Great insights from asset mangers - i'd like to see info on their long run risk adjusted performance

john
March 20, 2023

Me too !!

Douglas Isles
March 17, 2023

Congratulations to Firstlinks on reaching the 500th edition, and it was great to be a part of the new eBook created to mark this, sharing alongside many peers, the best part of our investment processes.

Ironically that, for us, is having an “outsider” mentality, yet here we benefit from being part of an illustrious group in order to share this message!

 

Leave a Comment:

RELATED ARTICLES

The best part of my funds investment process

Is the golden era for active fund managers ending?

What Warren Buffett isn’t saying speaks volumes

banner

Most viewed in recent weeks

The growing debt burden of retiring Australians

More Australians are retiring with larger mortgages and less super. This paper explores how unlocking housing wealth can help ease the nation’s growing retirement cashflow crunch.

Warren Buffett's final lesson

I’ve long seen Buffett as a flawed genius: a great investor though a man with shortcomings. With his final letter to Berkshire shareholders, I reflect on how my views of Buffett have changed and the legacy he leaves.

LICs vs ETFs – which perform best?

With investor sentiment shifting and ETFs surging ahead, we pit Australia’s biggest LICs against their ETF rivals to see which delivers better returns over the short and long term. The results are revealing.

Family trusts: Are they still worth it?

Family trusts remain a core structure for wealth management, but rising ATO scrutiny and complex compliance raise questions about their ongoing value. Are the benefits still worth the administrative burden?

13 ways to save money on your tax - legally

Thoughtful tax planning is a cornerstone of successful investing. This highlights 13 legal ways that you can reduce tax, preserve capital, and enhance long-term wealth across super, property, and shares.

Why it’s time to ditch the retirement journey

Retirement isn’t a clean financial arc. Income shocks, health costs and family pressures hit at random, exposing the limits of age-based planning and the myth of a predictable “retirement journey".

Latest Updates

Weekly Editorial

Welcome to Firstlinks Edition 639

Thank you for the hundreds of responses to our Reader Survey and to maximise the sample size, we’re leaving it open until this Sunday. Here is an overview of the results so far.

  • 27 November 2025
  • 1
Investment strategies

Where to hide in the ‘everything bubble’

It might not be quite an ‘everything bubble’ but there’s froth in many assets, not just US stocks, right now. It might be time to stress test your portfolio and consider assets that could offer you shelter if trouble is coming.

Investment strategies

The ultimate investing hack: dividend growth stocks

Investors often fall prey to ‘amygdala hijacks,’ letting emotion trump reason. By focusing on dividend-growth with stocks instead of volatile prices, you can steady your mindset and let compounding do the work. 

Investment strategies

CBA or global banks?

CBA’s recent pullback highlights single-stock risk. Global banks trade at lower P/Es with rising earnings and dividends, offering investors both income potential and long-term value beyond the local market.

Investment strategies

Global dividends rising, but Australia lags

Global dividend growth surged in the third quarter, with median growth of almost 6%. Australia was a notable exception as dividends fell, thanks to flagging mining company payouts.

Economy

I called inflation's rise and fall and here's what's next

In 2020, I warned that surging US money supply growth would spark inflation. By early 2023, I said US money supply was dropping dramatically and that meant inflation would decline. Here's what happens next.

Superannuation

Are excessive super funds giving Australia “Dutch Disease”?

The irony is profound: a system designed to secure Australians’ futures may be systematically dismantling the economic diversity necessary for long-term prosperity.

Investment strategies

Could your children pass the inheritance ‘stress test’?

You devote years of your life working, saving and investing, striving to build a legacy that will outlive you. Before any wealth moves to the next generation, here are six questions every parent should ask themselves.

Sponsors

Alliances

© 2025 Morningstar, Inc. All rights reserved.

Disclaimer
The data, research and opinions provided here are for information purposes; are not an offer to buy or sell a security; and are not warranted to be correct, complete or accurate. Morningstar, its affiliates, and third-party content providers are not responsible for any investment decisions, damages or losses resulting from, or related to, the data and analyses or their use. To the extent any content is general advice, it has been prepared for clients of Morningstar Australasia Pty Ltd (ABN: 95 090 665 544, AFSL: 240892), without reference to your financial objectives, situation or needs. For more information refer to our Financial Services Guide. You should consider the advice in light of these matters and if applicable, the relevant Product Disclosure Statement before making any decision to invest. Past performance does not necessarily indicate a financial product’s future performance. To obtain advice tailored to your situation, contact a professional financial adviser. Articles are current as at date of publication.
This website contains information and opinions provided by third parties. Inclusion of this information does not necessarily represent Morningstar’s positions, strategies or opinions and should not be considered an endorsement by Morningstar.