Worm Capital, LLC (“Worm Capital”) is a SEC registered investment advisor led by our our founder, CIO, and Portfolio Manager Arne Alsin. We believe the best investments come from the most innovative, future focused businesses with attractive value p If you like stocks, and if tumult and rapid change don’t frighten you from the market, the current environment might be as good as it gets. Business is changing at an accelerating rate. Disruption is spreading: We’ve been chasing it since we started our Equity Growth Strategy in 2012 with a focus in retail, cloud, and television. Most recently we’ve been banging our drums for an all-electric, fully –automated car industry. From here things could get interesting. Really interesting. Life expectancy for companies in the S&P 500 is now about fifteen years, down from sixty years following World War II. It’s all you can ask for if you like action. We feel our unique investment process and future based approach is well suited to potentially capture attractive returns for years to come.
Shareholders, are you sure you know what kind of deal you're getting when it comes to stock buybacks? Have corporate executives briefed you on all of the tradeoffs, have they explained all of the costs to you?
What you give up is pretty clear - lots of shareholder cash - but do you really know what comes out of the other side of the stock buyback machine?
In PDF format, see Arne's two thousand word essay to shareholders about buybacks.
THE TRUTH ABOUT BUYBACKS
In this brief video, Arne explains what really happens to all that cash being deployed in buybacks.