Received my first ever "Annual Report" as a shareholder of Frasers. Fully colored!
In it, the management team lists out:
- How the company has performed over the past year, and the reasons contributing to its success/failure
- Summary of the company assets (value of each property, tenants mix, lease period, etc)
- Financial information (cash flow, liabilities, etc)
- Interesting Stuff (like how it organize charity events for the community)
- The forecast for the future, and how it intends to grow the company
- Proposed resolutions (i.e you get to 'vote') on plans for the coming year
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It's like you are now the boss, and the management are reporting to you; submitting their progress report. If you are not happy with the company, you are free to sell your stakes away.
It's what I like about long-term investing. Success is based on actual performance of the something tangible, not reading charts and candlesticks.
Too many people treat investment like gambling. They buy stock based on symbols and price, hoping to sell it at a profit to others quickly.
I buy the actual business, and makes decision to buy/sell based on fundamental changes to the company. It's a long and slow process that can't provide instant gratification, but I'm enjoying the process.
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