The Money Life Podcast - Chuck Jaffe Interviews Acclaimed Value Investor Nick Kaiser | Saturna Capital
Nicholas Kaiser, Chairman of Saturna Capital

 

July 5, 2019 – Nicholas (Nick) Kaiser MBA, CFA®, chairman, global strategist, and portfolio manager at Saturna Capital, was featured in the Money Life podcast with Chuck Jaffe in an episode entitled “Value investing, active ETFs, children and their allowances and more!”

Jaffe, a syndicated financial columnist and host of Money Life, has followed Kaiser’s acclaimed value investing career for many years, so he turned to Kaiser for answers to questions about where to find value stocks in the current environment of record-high valuations.

Jaffe asked Kaiser how difficult it is to find enticing, properly valued investments, given Saturna’s “deep value investing philosophy.”

“We’re happy with what’s out there. There are value stocks to buy today,” said Kaiser.

“We’re well known as low-turnover investors…we would like to keep our positions for four, five, six years. We look for long-term businesses we can believe in,” he added. “Value has a long-term future for many, many investors.”

Jaffe also asked about Saturna’s history of employing a “wide moat” strategy – an investment strategy associated with renowned value investor Warren Buffet that advocates selecting companies with significant competitive advantages over their rivals.

Jaffe wanted to know, “Is a wide-moat strategy still valid in a fast-evolving world?”

Kaiser responded by citing the software industry as a modern-day example of wide-moat businesses: “That’s a typical example Saturna has seen success with; something that was narrow-moat before but has widened up.”

Jaffe concluded by asking Kaiser why investors should consider sticking with their international allocations.

Kaiser offered the following advice: “Most consumers, what they consume, what they use are products that come from the whole world. So, if they’re buying domestic stocks, that means their assets are more limited.”

“Ask, ‘What do you do personally? How do you consume? What do you buy?' And you ought to have your investments in that same mix, that same ratio...This is what I mean by aligning your personal life with your diversified life.”

Nick Kaiser founded Saturna Capital in 1989. He has been named to Morningstar's Ultimate Stockpicker's list 10 years running (2010 through 2019); he has twice been nominated for Morningstar's Domestic Stock Portfolio Manager of the Year (2006 & 2008) and twice been named to Barron's Top 100 Portfolio Managers (2001 & 2002). Mr. Kaiser was Northwest Business Monthly's Business Person of the Year in 2006 and received Whatcom Business Alliance's Lifetime Achievement Award in 2013. He is currently portfolio manager of Amana Growth Fund, Amana Income Fund, and Sextant International Fund.