Gavin Baker
+ Your AuthorsArchive @GavinSBaker Husband, Becky Painter. CIO, Atreides Management. Former PM, Fidelity OTC fund. No investment advice, views all my own. gavin-s-baker.com/ Jan. 23, 2021 1 min read

1) Still the best thinking I have ever read on inflation from the perspective of an equity investor.

Interesting to think about this in the context of some of today's co's that have minimal tangible assets, relatively few employees and high ROICs...

 https://fortune.com/2011/06/12/buffett-how-inflation-swindles-the-equity-investor-fortune-classics-1977/ 

2) Conclusion being that *if* inflation ever materializes - it might not have the subsector impacts that many seemingly expect based on potential changes in ROIC.

This is a comment on inflation *only*, not real rates.

Impact of real rates increasing is easy to understand.

3) This article is paywalled on Fortune, but easy to find PDFs.

And no opinion on inflation. Do not want to wade into that!


You can follow @GavinSBaker.



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