Finance & Fury Podcast

What is an economic moat and how can this help an investment portfolio?

Informações:

Sinopsis

Welcome to Finance and Fury. In this episode, we will be looking at investing using a moat. Moats are an effective tool for defence historically – you would put one up around a fortified structures – such as a castle or town – can be filled with water or not, many different types and variations – but the whole aim is to make a location more defensive from attacks – so what does a moat have to do with investing? Well – in this episode we aren’t talking about defending your castle from some medieval invaders – we are talking about moats that can be identified to provide some defence for your investments – in particular – we will focus on Economic Moats - What is an economic moat? An economic moat – simply put – is the ability of a business to maintain a competitive advantages over its competitors This – like a moat around a castle - helps a company to protect its long-term profits and market share from competing firms – which in this analogy would be the attackers a competitive advantage is essentially