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.

5 Comments
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!

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 !!

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.

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.

 

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

Which generation had it toughest?

Each generation believes its economic challenges were uniquely tough - but what does the data say? A closer look reveals a more nuanced, complex story behind the generational hardship debate. 

Maybe it’s time to consider taxing the family home

Australia could unlock smarter investment and greater equity by reforming housing tax concessions. Rethinking exemptions on the family home could benefit most Australians, especially renters and owners of modest homes.

The best way to get rich and retire early

This goes through the different options including shares, property and business ownership and declares a winner, as well as outlining the mindset needed to earn enough to never have to work again.

A perfect storm for housing affordability in Australia

Everyone has a theory as to why housing in Australia is so expensive. There are a lot of different factors at play, from skewed migration patterns to banking trends and housing's status as a national obsession.

Supercharging the ‘4% rule’ to ensure a richer retirement

The creator of the 4% rule for retirement withdrawals, Bill Bengen, has written a new book outlining fresh strategies to outlive your money, including holding fewer stocks in early retirement before increasing allocations.

Chinese steel - building a Sydney Harbour Bridge every 10 minutes

China's steel production, equivalent to building one Sydney Harbour Bridge every 10 minutes, has driven Australia's economic growth. With China's slowdown, what does this mean for Australia's economy and investments?

Latest Updates

Superannuation

Super crosses the retirement Rubicon

Australia's superannuation system faces a 'Rubicon' moment, a turning point where the focus is shifting from accumulation phase to retirement readiness, but unfortunately, many funds are not rising to the challenge.

Economy

Should Australia follow Trump's new brand of capitalism?

A new brand of capitalism may be emerging - one where governments take equity in private companies. Is it state overreach, or a smarter way to fund public goods without raising taxes?

Gold

Why gold may keep rising - and what could stop it

Central banks are buying, Asia’s investing, and gold’s going digital. The World Gold Council CEO reveals the structural shifts transforming the gold market - and the one economic wildcard that could change everything. 

Investment strategies

Fact, fiction and fission: The future of nuclear energy

Nuclear power is back in the spotlight, including in Australia. For investors exploring the sector, here are four key factors to consider in this evolving energy landscape. 

Taxation

The myth of Australia’s high corporate tax rate

Australia’s corporate tax rate is widely seen as a growth-killing burden. But for most local investors, it’s a mirage - erased by dividend imputation. So why is it still shaping national policy? 

Taxation

Should we change the company tax rate?

The headline 30% corporate tax rate masks a complex system of dividend imputation and franking credits that ensures Australian shareholders are taxed only once, challenging traditional measures of tax competitiveness. 

Investing

Noise cancelling for investors

A lot of the information at an investor's fingertips today has little long-term value. The modern investing greats are not united by access to faster information, but by their ability to filter out what doesn’t matter.

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.