Fisher Investments on Industrials

ISBN-13: 9780470452288 / Angielski / Twarda / 2009 / 224 str.

Andrew Teufel

Opis

The fourth installment of the Fisher Investments On series is a comprehensive guide to understanding and analyzing investment opportunities within the global Industrials sector. Fisher Investments on Industrials can help you quickly become familiar with this highly diversified sector, how the sector is segmented by industries, their respective macroeconomic drivers, and the challenges facing Industrials firms. This reliable guide skillfully addresses how to determine optimal times to invest in Industrials stocks, and which industries and sub-industries have the potential to perform well in various environments. The global Industrials sector is complex, including a variety of sub-industries and countries--each with their own unique characteristics. Using the framework found here, you'll discover how to identify these differences, spot opportunities, and avoid major pitfalls. Fisher Investments on Industrials:

• Discuses industry fundamentals, drivers, attributes, and potential challenges
• Profiles each of the Industrials sector's sub-industries, broken down by industry group: Capital Goods, Transportation, and Commercial Services & Supplies
• Delves into a top-down investment methodology as well as individual security analysis

led with in-depth insights and expert advice, Fisher Investments on Industrials provides a framework for understanding this sector and can help you make better investment decisions--now and in the future. With this book as your guide, you can quickly gain a global perspective of investing with regard to Industrials. For more information visit www.industrials.fisherinvestments.com

Spis treści

Foreword ix

Preface xi

Acknowledgments xv

Part I: Getting Started in Industrials 1

Chapter 1: Industrials Basics 3

Industrials Basics 4

Industrials Characteristics 7

The Modern Production Process 14

Chapter 2: History of Modern Manufacturing 21

The Advancement of Trade and Investment 22

The Rise of Asia and Changes in the Manufacturing Landscape 29

The State of US Manufacturing 41

Chapter 3: Industrials Sector Drivers 47

Corporate Spending 48

Government Spending 59

Part II: Next Steps: Industrials Details 65

Chapter 4: Industrials Sector Breakdown 67

Global Industry Classification Standard (GICS) 67

Global Industrials Benchmarks 69

Capital Goods Industry Group 75

Transportation 85

Commercial & Professional Services 93

Chapter 5: Staying Current: Tracking Sector Fundamentals 97

What to Watch 97

Corporate and Government Spending–Related Metrics 98

Industry Specific Indicators 111

Chapter 6: The Infrastructure Market 117

A Very Big Market 118

Infrastructure Investment Drivers 120

Risks to Infrastructure Growth 123

Participating in the Infrastructure Boom 125

Part III: Thinking Like a Portfolio Manager 131

Chapter 7: The Top–Down Method 133

Investing Is a Science 133

Einstein s Brain and the Stock Market 134

The Top–Down Method 136

Top–Down Deconstructed 142

Managing Against an Industrials Benchmark 149

Chapter 8: Security Analysis 155

Make Your Selection 156

A Five–Step Process 157

Important Questions to Ask 164

Chapter 9: Allocating your Capital Good 171

Strategy 1: Adding Value at the Industry Level 171

Strategy 2: Adding Value at the Security Level 179

Strategy 3: Industrials Sector Downturn 180

How to Implement Your Strategy 180

Appendix: Industrials Websites and Data Sources 183

Notes 185

Glossary 194

About the Authors 197

Index 198

O autorze

MATT SCHRADER is an Industrials analyst for Fisher Investments. He is also a contributing columnist for MarketMinder.com. Matt is a graduate of the University of California, San Diego. Originally from Marin County, California, he currently resides in San Francisco.

ANDREW S. TEUFEL has been with Fisher Investments since 1995 where he currently serves as a Co–President and the Director of Research. Prior to joining Fisher Investments, he worked at Bear Stearns as a corporate finance analyst in its Global Technology Group. Andrew also instructs at many seminars and educational workshops throughout the United States and United Kingdom, and lectures at the Haas School of Business at UC Berkeley. He is also the Editor in Chief of MarketMinder.com. Andrew is a graduate of UC Berkeley.

Blurb

• An in–depth look at the global Industrials sector investment universe including conglomerates, machinery producers, electrical equipment manufacturers, defense contractors, railroads, and more
• Tips and tools for security analysis and portfolio management
• A useful guide for investing in any market condition

The Fisher Investments On series is designed to provide individual investors, aspiring investment professionals, and students the tools necessary to understand and analyze investment opportunities primarily for investing in global stocks. Each guide is an easily accessible primer to economic sectors, regions, or other components of the global stock market. While this guide specifically focuses on Industrials, the basic investment methodology is applicable for analyzing any global sector, regardless of the current macroeconomic environment.

Following a top–down approach to investing, Fisher Investments on Industrials can help you make more informed decisions, specifically within the Industrials sector. It skillfully addresses how to determine optimal times to invest in Industrials stocks and which industries and sub–industries have the potential to perform well in various environments. The global Industrials sector is complex, covering multiple sub–industries and countries each with their own unique characteristics. Using the framework found here, you can discover how to identify these differences, spot opportunities, and avoid major pitfalls.

Divided into three comprehensive parts Getting Started, Industrials Details, and Thinking Like a Portfolio Manager Fisher Investments on Industrials:

• Discusses Industrials′ main drivers government and corporate spending and explains how to capitalize on a wide array of macro conditions and industry–specific events
• Breaks down Industrials by its three industry groups Capital Goods, Transportation, and Commercial Services & Supplies and walks you through their related industries and sub–industries
• Delves into top–down investment methodology as well as individual security analysis
• Provides a detailed account of global infrastructure markets from ways to participate in the boom to the risks behind investment
• Covers the major components of the global Industrials investment universe from building products and machinery to airfreight and electrical equipment
• Outlines a five–step process to help differentiate firms in this field designed to help you identify ones with the greatest probability of outperforming

Filled with in–depth insights and expert advice, Fisher Investments on Industrials provides a framework for understanding this sector and its industries, to help you make better investment decisions now and in the future. With this book as your guide, you can gain a global perspective of the Industrials sector and discover strategies to help achieve your investing goals.