Ron Basu, left, and Christopher Toomey of Morgan Stanley Private Wealth Managements Team Global Photograph by David Vintiner

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For partners Ron Basu, Rachael Naylor, and Christopher Toomey at Morgan Stanleys Team Global, having skin in the game is critical. We invest alongside our clients, so we feel the pain and the gain, Basu says. Launching the practice in 2008 with a focus on the needs of the ultrawealthy, the trio has built a team of 16 who oversee $7.4 billion in assets.

Barrons: Has the pullback prompted changes in how youre investing?

Ron Basu: Our overall allocation hasnt changed a whole lot, but we have been buying the dips carefully. With regard to equities, weve been focused on quality global stocks. In fixed income, weve trimmed high-yield exposure over time [in favor of] Treasuries and short-term investment grade.

The Covid-19 pandemic has forced us all to work differently, including Barrons. To ensure the safety of the subjects and photographers, all portraits were directed and captured via video conferencing software.

Christopher Toomey: With the pullback, there are great opportunities in the fixed-income space in high-quality companies with great balance sheets. Theres going to be a tremendous opportunity in creditin particular distressed creditas we get through phase one, which is the health crisis, and move to stage two, the economic crisis.

You have up to 40% in alternative investments. Has that hurt or helped as markets sank?

Basu: We see opportunity for alpha generation in alternatives. A large percentage of our multimanager and multistrategy portfolios are doing exceptionally well.

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What kinds of risks do your clients face?

Toomey: Many wealthy individuals have large concentrated exposures. In some cases, its a private business with particular exposure to an industry or risk. In others, it is tax liabilitylow cost-basis stock, for example. One risk for foundations and individuals is the continued correlation of assets. It used to be that there were greater dispersions between stocks and bonds. With the proliferation of passive strategies and aggressive monetary stimulus, we are seeing these historical relationships break down, leading to more risk across portfolios.

One solution is to diversify into alternative strategies and add structures that have less liquidityI know, that seems counterintuitive. Certain investment opportunities require longer to exploit; more-liquid structures can cause managers to be forced sellers at exactly the wrong time.

What are the key characteristics of your clients and your team?

Basu: Weve doubled in people, assets, and complexity in the past five years. About 50% of our clients are U.S. families and institutions and 50% are non-U.S. resident clients. Our team also has a global perspective. Its like a mini United Nations.

Thank you both.

N = Not ranked; PWM = Private Wealth Management

Use the scrollbar at the bottom of the table to view all columns.

Email: editors@barrons.com

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Barrons Top 100 Advisors: Finding Opportunities in Alternative Investments - Barron's

A lot of people are talking aboutGilead Sciences (NASDAQ:GILD) these days. The big biotech's antiviral drug remdesivir has made headlines because of its promise in treating novel coronavirus disease COVID-19. Some people had never even heard of Gilead before its COVID-19 program garnered widespread publicity.

But Gilead Sciences has been around a long time. The company was founded in 1987. It's also made early investors quite wealthy. Gilead conducted its initial public offering (IPO) at the end of January in 1992. Here's how much money you'd have now if you'd invested $10,000 in Gilead's IPO.

Image source: Getty Images.

Gilead Sciences priced its shares at $15 before its IPO. However, the biotech stock opened for trading at a little over $22 per share -- a gain of nearly 47% right off the bat for early investors.

The euphoria didn't last very long. Gilead lost roughly half of its market cap over the next few months. The stock rebounded, though, and finished its first calendar year of trading up 28% from its IPO price.

Over the next few years, Gilead continued to take shareholders on a roller coaster ride. But in 1995, the stock took off. Gilead's shares were highly volatile during the rest of the decade but trended up sharply overall.

The dawn of the 21st century ushered in a golden period for Gilead Sciences. Its stock skyrocketed. By mid-2008, Gilead was up by a staggering 5,660% adjusted for stock splits. Like many stocks, the financial crisis of 2008 and 2009 weighed on the biotech's shares. But that was only temporary.

Gilead stock went on to hit an all-time high in June 2015. At that point, anyone who had invested $10,000 in the company's IPO and held on would have had a position worth nearly $2.6 million. Unfortunately, it was mainly downhill from there. Still, though, a $10,000 investment in Gilead's IPO would now be worth nearly $1.8 million. That's a ginormous return of more than 17,800%.

Gilead won its first FDA approval in 1996 for Vistide in treating AIDS patients with cytomegalovirus retinitis, an inflammatory eye disease that can cause blindness. Vistide was the beginning of a long and successful road for Gilead in treating HIV-related conditions.

The biotech's rapid rise in the early 2000s stemmed from the launches of HIV drugs Viread (in 2001) and Truvada (in 2004). In 2006, the FDA approved Atripla -- a combination of Truvada and Bristol Myers Squibb's Sustiva.

Gilead also made some key acquisitions along the way that enabled it to move into new therapeutic areas. One of the most significant of these was the 2009 purchase of CV Therapeutics, a deal that brought cardiovascular drug Ranexa into Gilead's lineup.

But the most important acquisition by far for Gilead was its buyout of Pharmasset in 2011. That deal led to Gilead launching Sovaldi in 2013. Sovaldi was the first drug to cure hepatitis C. It was followed by Gilead's other hepatitis C virus (HCV) drugs Harvoni, Epclusa, and Vosevi.

By the second half of 2015, though, it became obvious that Gilead would be a victim of its own success. There were fewer HCV patients because so many had been cured by Gilead's drugs and new rivals that had entered the picture. Gilead's HCV franchise sales soon began to sink, dragging down the company's overall revenue, earnings, and share price.

However, Gilead still had its powerhouse HIV franchise. The company launched a new generation of HIV drugs, culminating in the introduction of Biktarvy in 2018. Biktarvy is on track to become the most successful HIV drug to date.

Gilead also continued to invest in business development. Its 2017 acquisition of Kite Pharma made Gilead an instant leader in the promising area of cell therapies for treating cancer.

HIV remains a core area of focus for Gilead Sciences. The biotech is developing a long-acting capsid that could be a major catalyst in the not-too-distant future. Gilead is also evaluating drugs that could potentially cure HIV in early stage clinical studies.

There are two things to watch with Gilead in the near term. The company expects to soon announce results from late-stage testing of remdesivir in treating COVID-19. Positive news wouldn't just be good for Gilead; it would be good for the world as countries continue to battle the coronavirus pandemic.

Gilead also awaits U.S. and European approvals for filgotinib in treating rheumatoid arthritis. The drug is widely expected to become a megablockbuster. Filgotinib, and Gilead's close partnership with its developer, Galapagos, could put the big biotech in a prominent position in the huge immunology market.

Don't look for the staggering returns from Gilead that it's delivered over the past 28 years. However, with solid growth prospects plus a nice dividend, the biotech stock seems likely to deliver good total returns to investors over the next decade.

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If You Invested $1000 in Gilead Sciences' IPO, This Is How Much Money You'd Have Now - Motley Fool

Today we are going to look at Dover Motorsports, Inc. (NYSE:DVD) to see whether it might be an attractive investment prospect. Specifically, were going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business.

First of all, well work out how to calculate ROCE. Then well compare its ROCE to similar companies. And finally, well look at how its current liabilities are impacting its ROCE.

ROCE measures the return (pre-tax profit) a company generates from capital employed in its business. All else being equal, a better business will have a higher ROCE. Ultimately, it is a useful but imperfect metric. Author Edwin Whiting says to be careful when comparing the ROCE of different businesses, since No two businesses are exactly alike.

Analysts use this formula to calculate return on capital employed:

Return on Capital Employed = Earnings Before Interest and Tax (EBIT) (Total Assets Current Liabilities)

Or for Dover Motorsports:

0.078 = US$6.1m (US$82m US$4.8m) (Based on the trailing twelve months to December 2019.)

Therefore, Dover Motorsports has an ROCE of 7.8%.

View our latest analysis for Dover Motorsports

ROCE is commonly used for comparing the performance of similar businesses. It appears that Dover Motorsportss ROCE is fairly close to the Hospitality industry average of 8.5%. Aside from the industry comparison, Dover Motorsportss ROCE is mediocre in absolute terms, considering the risk of investing in stocks versus the safety of a bank account. Investors may wish to consider higher-performing investments.

The image below shows how Dover Motorsportss ROCE compares to its industry, and you can click it to see more detail on its past growth.

When considering this metric, keep in mind that it is backwards looking, and not necessarily predictive. ROCE can be misleading for companies in cyclical industries, with returns looking impressive during the boom times, but very weak during the busts. ROCE is only a point-in-time measure. How cyclical is Dover Motorsports? You can see for yourself by looking at this free graph of past earnings, revenue and cash flow.

Current liabilities include invoices, such as supplier payments, short-term debt, or a tax bill, that need to be paid within 12 months. Due to the way the ROCE equation works, having large bills due in the near term can make it look as though a company has less capital employed, and thus a higher ROCE than usual. To check the impact of this, we calculate if a company has high current liabilities relative to its total assets.

Dover Motorsports has current liabilities of US$4.8m and total assets of US$82m. Therefore its current liabilities are equivalent to approximately 5.8% of its total assets. With low levels of current liabilities, at least Dover Motorsportss mediocre ROCE is not unduly boosted.

If performance improves, then Dover Motorsports may be an OK investment, especially at the right valuation. You might be able to find a better investment than Dover Motorsports. If you want a selection of possible winners, check out this free list of interesting companies that trade on a P/E below 20 (but have proven they can grow earnings).

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Thank you for reading.

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What Can We Learn From Dover Motorsports, Inc.s (NYSE:DVD) Investment Returns? - Simply Wall St

With the stock market still down significantly off its highs from earlier this year, there are still a lot of attractive stocks that you could buy. But with a limited amount of money available to invest, you have to be very picky. Many investors don't have enough cash to scoop up shares of 20 or 30 different stocks.

The good news is that you don't have to have a huge cash stockpile and you don't have to buy a lot of stocks in one fell swoop. Here are three great stocks to buy even if you have less than $5,000 to invest.

Image source: Getty Images.

Sure,Alphabet's (NASDAQ:GOOG) (NASDAQ:GOOGL) share price stands at a little under $1,300 right now. But it's no problem at all if you're only able to buy one or two shares of Alphabet. You'll get a lot with your investment

Alphabet is known for its enormously popular apps and websites, including Google Search, YouTube, and Gmail. The company's Android operating system also powers nearly 87% of all smartphones, according to market researcher IDC. However, there's a lot more to Alphabet than these products that many Americans use everyday.

The company's Google Cloud business, which provides cloud hosting services to organizations, is growing rapidly. Although Google Cloud still trails well behind the two biggest players in the cloud market, Amazon.comand Microsoft, Alphabet has its target set on at least claiming the No. 2 spot in the future.

Alphabet's Waymo unit is the leader in self-driving car technology and should become a huge moneymaker over time. The company also could emerge as an important player in healthcare, with Verily teaming up with big partners to use data to tackle healthcare issues and Calico working on extending the human life span. Few companies claim the wide array of growth opportunities along with a strong moat for its existing businesses that Alphabet does.

Berkshire Hathaway (NYSE:BRK.A) (NYSE:BRK.B) could serve as the poster child for getting a lot with your investment. Warren Buffett's company owns close to 60 businesses spanning a wide range of industries, including Dairy Queen, GEICO, Fruit of the Loom, and Precision Castparts.

The big conglomerate also has a huge investment portfolio. Berkshire owns stakes in over 40 stocks representing the airline, auto, banking, consumer goods, energy, healthcare, and technology sectors. Buying Berkshire Hathaway stock is almost like buying an exchange-traded fund (ETF).

There are two classes of Berkshire Hathaway shares -- class A and class B. If you have less than $5,000 to invest, you can forget about the class A shares. One Berkshire class A share currently trades for close to $285,000. However, Berkshire class B shares are much more affordable at less than $200 per share.

What I like the most about Berkshire is that the company has a lot of cash to use in buying stocks at attractive prices. Warren Buffett views market downturns as opportunities instead of problems. I expect that when Berkshire's next regulatory filing disclosing its holdings is submitted, we'll see plenty of purchases that could lead to market-beating returns over the next few years.

Now for a twist. MongoDB (NASDAQ:MDB) isn't nearly as well-known as Alphabet or Berkshire Hathaway. The database company is only a fraction of the sizes of those two giants. But MongoDB's smallness when compared to its market opportunity makes the stock very appealing, in my view.

IDC projects that the global database market will reach $97 billion by 2023, up from $71 billion this year. MongoDB currently claims only a sliver of that market -- a market share of less than 1%. However, the company's market share is growing faster than its much larger rivals.

One reason why MongoDB's growth rate tops its bigger competitors is that the company designed its database from the ground up to handle unstructured data. The market-leading databases were originally developed decades ago when data could be stored neatly into rows and columns. Today's world, with images, videos, and unstructured text, can't be handled as effectively with the approaches of the past. That gives MongoDB a solid competitive advantage.

In addition, MongoDB built its database to be run from anywhere, including the cloud. The company's primary growth driver is its Atlas cloud-based database-as-a-service platform, which makes it easy for customers to manage and store data in the cloud. As more organizations move their apps and data to cloud environments, I expect MongoDB's market share will grow much larger. Buying this smallgrowth stock now should pay off in a big way over the long run.

Link:
3 Stocks to Buy If You Have Less Than $5,000 to Invest - Motley Fool

Even as stocks regain ground from March's historic bear market plummet, there's still time to invest in great companies at prices that are attractive when considered relative to their potential for outsized returns. The broader market decline punished both good stocks and bad, but there are plenty of companies with remarkable growth prospects.

But what stocks have the biggest chance of delivering impressive returns? I believe that $3,000 (or less) invested in each of these three stocks will make investors a small fortune over the next 10 years.

Image source: Getty Images.

As more and more employees are forced to work from home, preventing large-scale data breaches has never been more important. Workstaffs are accessing computer systems remotely in greater numbers than ever before; ensuring their logins are genuine could be the difference between business as usual and a debilitating intrusion by hackers. That's where Okta (NASDAQ:OKTA) (pronounced Ahk-tuh) comes in.

The company's cloud-based identity management service handles the user authentication for employees, contractors, and customers across more than 6,500 business software applications, all with a single, secure login process.

Last year, Okta was named the industry leader in access management, beating out some of the biggest names in the field for the third year running according to research company Gartner,while Forrester Research came to a similar conclusion, finding it the top Identity-as-a-Service (IaaS) provider.

Okta closed out 2019 with a bang, with revenue that grew 45% year over year, while subscription revenue climbed even faster, up 46%.The company continues to gain converts, as its customer count grew 30% compared to the prior-year quarter. Even more importantly, large enterprise-level customers grew even faster, as those with contracts over $100,000 grew 41%. Additionally, Okta's dollar-based retention rate was 119% last quarter, showing that once onboard, satisfied customers tend to spend even more.These two factors combined will help Okta super-charge its growth.

Image source: Roku.

There's little doubt cord-cutting is accelerating. Last year, the major pay-TV providers lost more than 4.9 million customers, the largest single-year loss in history, according to data gathered by Leichtman Research Group.That followed declines of 2.87 million in 2018 and 1.49 million in 2017. So the movement continues to gain steam. One of the biggest beneficiaries of this trend is Roku (NASDAQ:ROKU).

While Roku is well known for its set-top boxes and dongles that make access to streaming services a breeze, investors may not be aware that the company makes the bulk of its money from advertising. While its overall revenue grew 49% year over year in the fourth quarter, platform revenue -- which includes advertising, The Roku Channel, and its smart TV operating system (OS) -- soared 71%.

Speaking of smart TVs, the company is simply dominating the space, with the Roku OS found in one-in-three devices sold in the U.S. last year, accelerating from one-in-four the prior year, giving viewers stuck at home an easy way to access their favorite streaming services.

The company'spreliminary Q1 results tell the tale. Active accounts grew by 37% year over year to about 40 million, while streaming hours grew by an estimated 49%.With millions of consumers sheltering at home, Roku is providing easy access to a much-needed respite.

Image source: Getty Images.

The world is changing, and data no longer fit neatly into the tight little rows and columns of historical databases. Modern data are messy, with photos, video, and even entire documents, bucking convention and refusing to fit within the confines of a cell. MongoDB (NASDAQ:MDB) solves that 21st-century problem.

While traditional databases are stuck in the past, MongoDB can handle data pulled in from a variety of sources, helping empower developers and the apps they create. MongoDB offers a free community server that gives customers a taste of what it can do. But it's the company's cloud-based, fully managed database-as-a-service product -- Atlas -- that's at the heart of the company's massive growth.

In the fourth quarter, MongoDB reported revenue that grew 44% year over year, while subscription revenue climbed 46%. Those results are remarkable enough, but the revenue generated by Atlas soared 80% year over year and now represents 41% of the company's total revenue. Not bad for a three-year-old product. The company also said it was seeing "minimal impact" and has continued to close transactions, even in the areas hardest hit by COVID-19.

If that weren't enough, consider this: MongoDB CEO Dev Ittycheria said the company operates in one of the largest and fastest-growing software spaces, with a total addressable market that's expected to grow from $71 billion in 2020 to $97 billion by 2023, citing data from IDC.

The position of disruptor in a large and growing market is an enviable one to be in, suggesting that MongoDB is just getting started.

Each of these companies represents something of a high-risk, high-reward proposition. Like with many high-growth young companies, these are by no means cheap. Okta, Roku, and MongoDB are selling at 29, 13, and 20 times sales, respectively -- when a good price-to-sales ratio is generally between 1 and 2. Additionally, none of these companies is currently profitable, instead opting to spend their limited resources securing future growth.

In each case, however, investors have been willing to pay up for stellar topline growth and the potential that these stocks could make investors a fortune over the coming decade.

Link:
$3,000 Invested in These 3 Stocks Could Make You a Fortune Over the Next 10 Years - The Motley Fool

Over the past several weeks, many of us have been working from home in response to the "social distancing" necessitated by the coronavirus. Nonetheless, we still have opportunities to get outside and enjoy Mother Nature. And now, with the 50th anniversary of Earth Day being celebrated on April 22, it's important to appreciate the need to protect our environment. Of course, you can do so in many ways -- including the way you invest.

Some investors are supporting the environment through "sustainable" investing, which is often called ESG (environmental, social and corporate governance) investing.

In general, it refers to investments in businesses whose products and services are considered favorable to the physical environment (such as companies that produce renewable energy or that act to reduce their own carbon footprints) or the social environment (such as firms that follow ethical business practices or pursue important societal goals, such as inclusion and pay equity). ESG investing may also screen out investments in companies that produce products some people find objectionable.

ESG investing has become popular in recent years, and not just with individuals; major institutional investors now pursue sustainability because they think it's profitable -- and plenty of facts bear that out. A growing body of academic research has found a positive relationship between corporate financial performance -- that is, a company's profitability -- and ESG criteria.

So, although you might initially be attracted to sustainable investments because they align with your personal values, or because you want to hold companies to higher standards of corporate citizenship, it turns out that you can do well by doing good. Keep in mind, though, that sustainability, like any other criteria, can't guarantee success or prevent losses.

In any case, be aware that sustainable investing approaches can vary significantly, so you need to determine how a particular sustainable investment, or class of investments, can align with your values and fit into your overall portfolio. Specifically, how will a sustainable investment meet your needs for diversification?

For example, if you desire total control over how your money is invested, you might want to invest in a basket of individual stocks from the companies you wish to support. But if you want to achieve greater diversification, plus receive the benefits of professional management, you might want to invest in sustainable mutual funds.

Be aware, though, that even though they may not market themselves as "sustainable," many more mutual funds do incorporate sustainability criteria into their investment processes. You also might consider exchange-traded funds (ETFs), which own a variety of investments, similar to regular mutual funds, but trade like stocks. ETFs often track particular indexes, so an ETF with a sustainable focus might track an index including companies that have been screened for social responsibility.

Make sure you understand the fundamentals of any sustainable investment you're considering, as well as whether it can help you work toward your long-term goals. But by "going green" with some of your investments, you can help keep the spirit of Earth Day alive every day of the year.

This article was written by local Edward Jones financial advisor Dave Mason.

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Earth Day: Time to 'go green' with investments? - Norman Transcript

Are you looking for startups to invest in?

Thats great if you are. Just remember that like investments in the stock market, theyre not a sure thing, especially during this unique period of coronavirus-related volatility.

Dr. Zachary Cohle, Assistant Teaching Professor of Economics at Quinnipiac University, spoke to InvestorPlace about equity crowdfunding. Specifically, Dr. Cohle spoke to how the coronavirus could impact equity crowdfunding.

Due to the shutdowns related to Covid-19, the ability for firms to raise capital will be significantly weakened, says Dr. Cohle. For those who were once looking to invest, the Covid-19 virus may prevent investment in two ways. First, the uncertainty of ones own income in the coming months will make people less likely to tie up money in long-term investments. Second, the uncertainty of businesses during the next few months will make the expected payoff from any investment decrease.

That said, if you understand the risks involved, you might want to consider the equity crowdfunding platform StartEngine.

StartEngine was founded in June 2015 after the Securities and Exchange Commission enacted Title II of the JOBS Act. However, it was the enactment of Title III, which allowed companies to make securities offerings to non-accredited investors, that really got things rolling.

In almost four years since, StartEngine has become one of the countrys leading equity crowdfunding platforms, raising more than $125 million from more than 200,000 investors.

Currently, it has 88 investment opportunities on its platform. Here are what I believe are some of the best startups to invest in on StartEngine.

Amount Raised: $707,220Amount Raised Per Investor: N/APrice Per Share: $60Minimum Investment: $60

Long before the U.K. craft brewer invaded the U.S. market in 2017, the duo of founders, James Watt and Martin Dickie, were busy raising funds for their business through equity crowdfunding. In 2010, the duo completed its first of many Equity for Punks equity raises, selling 639,400 pounds worth of BrewDog shares. Since then, the craft brewer has convinced more than 120,000 investors to invest in its dreams of global domination.

BrewDog USA launched its first beer in America in June 2017. Its 42-acre site in Ohio has a 100,000 square-foot brewery, a taproom and restaurant, the DogHouse craft beer hotel, and the Overworks sour facility.

The current brewery has an annual capacity for 426,000 barrels of beer with the ability to build a second brewhouse to accommodate more growth.

BrewDog USAs first equity crowdfunding raise was in 2016. Its Equity for Punks USA raised more than $7 million or an average of approximately $875 per investor. Its second in 2018 raised more than $2.2 million or $355 per investor.

Currently, it is looking to raise up to $39 million, which will be used to fund a West Coast expansion, build BrewDog outposts in smaller towns across America, and opening the American arm of BrewDog Distilling, producing gin, vodka, and whiskey.

If BrewDog USA raises all $39 million, the UK parent, BrewDog plc, would own 88.2% of its stock with equity crowd funders owning the rest. BrewDog USAs most recent revenues, according to its Form 1A Regulation Offering Statement, are $12.4 million with EBITDA of $503,030. It has total assets of $47.5 million and zero long-term debt.

2019 was a successful year for BrewDog USA as it increased its production by 46% to 53,000 barrels.

Apart from Punk IPA [the companys flagship beer], which is flat, everything else is growing like crazy, so its continuing to drive distribution on those day-in, day-out beers, along with offering up our Limiteds and our Amplifieds and the nitros and the AFs [alcohol-free], so theres fun and excitement on the side, said Adam Lambert, the companys chief revenue officer.

Through the first half of 2019, BrewDog USAs Ohio business (56% of its sales) grew by 90%. The Mid-Atlantic (25% of sales) grew by a whopping 182%. Overall, it sells 60% of its beer through the off-premise retail channel and the remainder through bars, restaurants, and corporate taprooms and bars. Off-premise sales grew by 127% through the first six months of 2019, while on-premise grew by 97%.

The company currently operates a taproom at its Columbus brewery, two other taprooms in the Columbus area, and two additional locations in Cincinnati and Indianapolis. It plans to open a sixth location in Pittsburgh later in 2020.

As part of its expansion plans, it intends to put rentable apartments above each of its taprooms. Called Kennels, its another way the company is looking to engage its customer base.

Everything is about creating this incredible beer-themed experience where you can come stay above one of our bars and have a gorgeous space with incredible room amenities, said special projects manager Keith Bennet. Theyve got some of the best beer from around the world in them.

The biggest downside? The coronavirus could topple it.

The founders sent an email to shareholders in March that suggested the coronavirus is going to severely hurt its business on both sides of the pond.

As Covid-19 reaps unforeseen havoc on our world, our number one priority must be the safety of our loved ones. As for BrewDog, I am writing to tell you that things over the next few months are going to be very, very difficult for us, co-founder James Watt stated.

Covid-19 has already had a colossal impact on our business and we have lost almost 70% of our revenue overnight. We have two main priorities at the moment. Number one: survive. Number two: preserve as many of the 2,000 jobs we have created at BrewDog as possible.

Although this is a stark reminder of what a difficult time it is for businesses of all sizes, I believe that BrewDog USA will come out of this stronger than ever due to its unique brand and fundraising activities.

And one more thing: Unlike publicly traded stocks, equity crowdfunding investments come with perks. As perks go, what could be better than beer?

ModVans

Amount Raised: $692,015Amount Raised Per Person: $373Price Per Share: $5.95Minimum Investment: $101.15

Why do I like it? Millennials will love the companys CV1 campervan. Plus, it already has $3.7 million in sales.

Flower Turbines

Amount Raised: $183,660 Amount Raised Per Person: $759Price Per Share: $30Minimum Investment: $30

Why do I like it? I live in Halifax, Nova Scotia, which is right on the Atlantic Ocean. Its a very windy place. Flower Turbines product is a much better renewable energy solution than solar. It is the future of renewable energy. The biggest concern? It currently has only a few customers and no sales history. It is what you would consider an actual startup.

These are but a few of the investments worth exploring on StartEngine, but theyre all very good options to get you started on your journey in the equity crowdfunding space.

Will Ashworth has written about investments full-time since 2008. Publications where hes appeared include InvestorPlace, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. He particularly enjoys creating model portfolios that stand the test of time. He lives in Halifax, Nova Scotia. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities.

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These Are Some of the Best Startups to Invest In on StartEngine - Investorplace.com

Generation X Most Comfortable with Stocks News Release, Bankrate.com

NEW YORK Millennials continue to lag behind their elders when it comes to investing in the stock market, according to a new Bankrate.com (NYSE: RATE) report. Just 33% of millennials say that they own stock, compared to 51% of Gen Xers (ages 36-51) and 48% of Baby Boomers (ages 52-70). Whats interesting is that older millennials are leading the charge when it comes to investing; 44% of those ages 26-35 say they invest, compared to only 18% of those ages 18-25.

Older millennials seem to be getting the message that the stock market allows for major financial gains if you start early, said Jill Cornfield, Bankrate.coms retirement analyst. Although theres always some risk involved, building a portfolio at an early age allows for compound interest to grow and produce ample savings over time, Cornfield added.

Overall, the general population is still shying away from investing in the stock market. More than half of the respondents (54%) say they do not invest. The top reason cited for staying out of the stock market is not having enough money (48%), followed by not knowing enough about stocks to invest (25%). Other deterrents include, stocks are too risky (11%), not trusting stock brokers or advisors (7%) and fear of high fees(1%).

Income and education are clear indicators when it comes to stock market participation. 73% of individuals with an income of $75K or more invest in the market compared to only 9% of people who earn under $30K per year. Similarly, those who have college education say they invest in the market more than people with a high school education or less, 61% vs. 29%, respectively.

Princeton Survey Research Associates International obtained telephone interviews with a nationally representative sample of 1,000 adults living in the continental United States.

Interviews were conducted by landline (500) and cell phone (500, including 255 without a landline phone) in English and Spanish by Princeton Data Source. Statistical results are weighted to correct known demographic discrepancies. The margin of sampling error for the complete set of weighted data is plus or minus 4.0 percentage points.

The Southern Maryland Chronicle is a local, small business entrusted to provide factual, unbiased reporting to the Southern Maryland Community.While we look to local businesses for advertising, we hope to keep that cost as low as possible in order to attract even the smallest of local businesses and help them get out to the public. We must also be able to pay employees(part-time and full-time), along with equipment, and website related things. We never want to make the Chronicle a pay-wall style news site.

To that end, we are looking to the community to offer donations. Whether its a one-time donation or you set up a reoccurring monthly donation. It is all appreciated. All donations at this time will be going to furthering the Chronicle through hiring individuals that have the same goals of providing fair, and unbiased news to the community. For now, donations will be going to a business PayPal account I have set-up for the Southern Maryland Chronicle, KDC Designs. All business transactions currently occur within this PayPal account. If you have any questions regarding this you can email me at [emailprotected]

Thank you for all of your support and I hope to continue bringing Southern Maryland the best news possible for a very long time. David M. Higgins II

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Only 1 in 3 Millennials are Investing in the Stock Market - The Southern Maryland Chronicle

In the past two months, big stocks have been walloped, but small stocks have been beaten up worse.

Large stocks (measured by the Standard & Poors 500 Index) are down about 17% from their high on Feb. 19, taking dividends into account. Small stocks (measured by the Russell 2000 Index) have fallen about 26%.

Its no secret that small stocks are more volatile than their big brethren. But sometimes, volatility can be a buyers friend. For bargain hunters, I think there are some undiscovered gems among the small companies. Here are four that appeal to me.

On the day the market hit its high, Americas Car-Mart Inc. (CRMT) traded for $126. As of April 10, it was about $64.

Selling used cars to folks with bad credit is the companys main activity. It prices its car loans to anticipate an above-average default rate, and the strategy has worked up to now. Car-Mart stayed profitable in each of the past 15 years, even during the Great Recession of 2007-2009.

Can it weather the recession that most economists think is about to hit? Im not sure it will keep its profit streak alive, but I do think it will survive and live to fight another day.

The South Car-Marts core territory hasnt been hit as hard by the coronavirus as New York and Washington states.

If the recession gets bad, and the bear market of February and early March resumes, people may shy away from investing. Thats why Diamond Hill Investment Group Inc. (DHIL) sells for only six times recent earnings.

Thats quite a low multiple for the Columbus, Ohio, firm, which has fetched an average of close to 15 times earnings over the past 10 years. Over that decade, the firm has grown its revenue almost 10% a year. Growth has slowed lately, as investing in index funds has become popular.

Diamond Hill runs some 13 mutual funds, as well as other accounts. It is debt free, a valuable attribute in troubled times. Two insiders, CEO Heather Brilliant and director James Laird Jr., have added to their shareholdings recently.

Johnson Outdoors Inc. (JOUT), based in Racine, Wisconsin, makes a wide variety of outdoor recreation equipment. Its Humminbird sonar equipment helps fishermen find fish. Its quiet Minn-Kota battery-powered fishing motors help the fishermen to sneak up on them. And its GPS equipment helps the fishermen get home again.

The company also makes camping equipment, scuba diving equipment, kayaks, canoes and other outdoor recreation gear. It has grown its book value (corporate net worth per share) at an 11% annual pace for the past five years.

Tow trucks and car-carrier trucks are the staple products at Miller Industries Inc. (MLR), which has its headquarters in Ooltewah, Tennessee. Like Americas Car-Mart, it has turned a profit in each of the past 15 years, even recession-wracked 2008.

Over the past decade, Miller Industries has grown its revenue at more than 12% a year and earnings at more than 15% a year. The stock has sold for an average of 14 times earnings in the past 10 years; its multiple today is only eight.

Since the beginning of 2000, Ive written 22 columns devoted to small-stock recommendations. The average 12-month return on my picks has been 14.3%. That compares well to 6.3% for the S&P 500 Index and 8.5% for the Russell 2000. Figures are total returns including dividends.

Of the 22 sets of recommendations, 17 were profitable. Fourteen beat the S&P 500, and the same number beat the Russell 2000.

Bear in mind that my column recommendations are hypothetical: They dont reflect actual trades, trading costs or taxes. These results shouldnt be confused with the performance of portfolios I manage for clients. Also, past performance doesnt predict future results.

My picks from a year ago declined about 7% from April 15, 2019, through April 9, 2020, beating the Russell 2000 but not the S&P 500. The Russell fell just over 20% in that time, while the S&P lost only about 2%.

The only stock I plumped for a year ago that did well was PetMed Express Inc. (PETS), up about 37%. But I lost 38% on Marine Mac Inc. and 20% on Home Bancorp Inc. (HBCP). Two other picks had smaller losses.

Caution: I wouldnt run out and buy a full position in these stocks, even though I like them. If you agree with my recommendations, I suggest buying one-third of your ultimate position now, another third in June and the final helping in August. I think the markets will be rough this year.

Disclosure: I own shares in Americas Car-Mart personally and for most of my clients. I own Miller Industries personally and in a hedge fund I manage.

John Dorfman is chairman of Dorfman Value Investments in Newton Upper Falls, Massachusetts, and a syndicated columnist. He can be reached at jdorfman@dorfmanvalue.com.

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On Investments: If you're a bargain hunter, consider these undiscovered gems - Omaha World-Herald

Have $1,000 lying around that you want to turn into more? Maybe you've just received your stimulus check from the U.S. Treasury, and you know that recessions tend to be fantastic times to buy stocks for the long term. Well, you're right. Invest your $1,000 in these three stocks right now and you could reap rewards over time.

Spotify (NYSE:SPOT) is the world's largest music and audio streaming company, with a presence in 79 markets (soon to be 80 with the launch in South Korea). As of the end of last year, the company had 271 million monthly active users (MAUs), including 124 million paying premium subscribers. Those figures grew 31% and 29%, respectively, last year.

What's special about Spotify is how much it dominates its industry despite having certain characteristics of a commodity-based business. In other words, every music streaming service basically has all the same songs. So why is Spotifyso much more popular than every other service?

Image source: Getty Images.

The answer: Spotify's product is superior to every competing service out there. How is that possible? Spotify's only business is music and audio streaming. That allows it to have an intense focus that its larger tech competitors (Apple's Apple Music, Amazon.com's Amazon Music, Alphabet's YouTube Music, and others) can't match. For example, Spotify spent $615 million on research and development (R&D) for audio streaming alone last year. The company has 2,094 employees in its R&D operation: 48% of its entire workforce. No other company has that kind of focus on this one market.

Spotify has a huge subscriber base already, but there will be over 3 billion smartphone users in markets that Spotify either operates in now or will soon enter, and they're all potential users for the service one day. That implies the company has only penetrated 9% of its market in terms of MAUs and only 4% in terms of subscribers. The runway ahead is very long, and Spotify's bargaining power and margin potential will only increase as it grows larger.

Lyft (NASDAQ:LYFT) is one of the two scale players in the U.S. ride-hailing business. The business grew revenue 68% to $3.6 billion last year and has been rapidly approaching break-even adjusted EBITDA.

The company has a long runway ahead to grow, because ridesharing represented just 1% of total vehicle miles traveled in the U.S. in 2016, according to management consultancy McKinsey. But in more deeply penetrated areas, ride-hailing's share is far greater. For example, it accounts for 13% of vehicle miles traveled in San Francisco, 8% in Boston, 3% in Chicago and Los Angeles, and 2% in Seattle. Ridesharing should only grow over time due to its lower cost and greater simplicity versus car ownership, especially in urban areas. It should also benefit from a tailwind as millennials and younger generations who are more tech savvy become an increasing proportion of the population.

Lyft is still cash-flow negative, but it's investing several hundred million dollars on newer and still-unprofitable growth initiatives like bikes and scooter rentals and autonomous technology. Considering the size of those investments and how close Lyft was to break-even cash flow last year, it's fair to conclude the core ride-hailing business is already nicely free-cash-flow positive.

The company's long-term profit margins should be attractive, too. On the ride level, each additional ride has about 50% profit margin. But management thinks that could be closer to 70% long term. Either way, more of the company's revenue should drop to the bottom line as the business grows larger.

Lyft is going through a difficult period today because so many are housebound. But it should clearly survive. And by the time we get to the other side of this COVID-19 downturn, the stock should be far higher than it is today.

Vail Resorts (NYSE:MTN)operates 17 ski resorts in North America and Australia. The company owns large and popular resorts like Whistler-Blackcomb in British Columbia, Vail Mountain and Breckenridge in Colorado, and Park City in Utah, among many others.

Including reinvested dividends, the company made investors over seven times their money in the 10 years prior to the stock's pre-COVID-19 peak in February. The company has demonstrated impressive pricing power with its season ski passes over the years, including the Epic Pass program, which grants avid skiers access to any of the company's resorts for one price.

But the stock has fallen 35% from its February high because the company was forced to close all of its North American ski resorts, retail stores, and lodging properties due to the outbreak. Vail Resorts has responded by cutting spending significantly, including furloughing workers, reducing salaries, deferring capital projects, and suspending the quarterly dividend for the next two quarters.

Vail's primary ski business should begin to recover next winter as we increasingly get COVID-19 under control. And once we have an effective vaccine -- likely 12 to 18 months from now -- nothing will hold back skiers from hitting Vail's slopes. In fact, investors should expect the unleashing of so much pent-up demand that Vail could see a massive recovery.

Excerpt from:
Where to Invest $1,000 Right Now - The Motley Fool