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The week's question
In March 2025, in the thread "Re: OT, out", Umm asked the members: "Do you think it is because America is made up of magical soil that makes businesses based in America magically profitable?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
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Author: mungofitch ✹✺🐝 SILVER
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Number: of 22347 
Subject: Re: Non-US shares with management you trust
Date: 09/17/26 11:46 AM
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If long-term thinking and stability are what you're after, it might be worth taking a look at the sogo shosha and Tokio Marine -- understanding that Japanese corporate culture and the perception of management's duty to parties other than shareholders is very different than the U.S.

Slightly off topic--
A little tip on investing outside the so-called Angle-Saxon world, where businesses even in first world economies are often run for the benefit of insiders or controlling families. There might be lots of profits, but they might not benefit minority holders very much. This isn't just a problem in developing markets, it's a huge issue in Korea, Japan, France, and other "modern" places.

The tip: simply insist on a solid dividend yield when picking your investments. I'm not a fan of dividends in general due to my own circumstances (no tax credit), but in this context it's a useful tip. Often a controlling shareholder or family will rely on the dividends for their own lifestyle, so in that instance you are investing more alongside them. If the insiders are running several inter-related entities, lean towards buying the one that is giving them their dividends. You'll get at least some of the upside. I wouldn't want to invest in, for example, a fabulous Japanese firm with no dividend and a trillion idle yen sitting on their balance sheet, no matter how good their profit margins or growth are: you might just watch the pile of yen get bigger as the price stays essentially flat forever.

Another tip, more obscure: if there are inter-related entities, don't ever pick one versus another because of relative valuation based on a sum-of-parts from cross shareholdings (or any other sum of parts). If one entity is at a discount, either (a) it's often for a very good but non-obvious reason, and (b) it might not help you, as the controlling families may just force a takeover at the market value rather than true value. Toyota Industries springs to mind, and any number of Korean stories.

Jim
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This community has written 589 posts about Non-US Stocks. The article-length ones it recommended most:
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