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Buying a stock? Dont ignore the quality of the company management

24 July 2018

  • Investing
  • Stock views

Recently, multiple cases of fraud have come to light where shareholders have suffered near permanent loss of their capital because of dubious promoters or management. So, in addition to the financial and business analysis, assessing the quality of management is equally important. Before investing in any company you must evaluate management’s

a) Competency

b) Integrity

Management’s competency will influence upside return while integrity is essential to protect from downside risk.

In this post, we will discuss how to evaluate management’s integrity.

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