November 1, 2022
Capital Returns: Investing Through the Capital Cycle: A Money Manager’s Reports 2002-15
Edward Chancellor
This book, which reproduces the manager’s Global Investment Review publications, belongs on every serious value investor’s shelf. The manager, Marathon Asset Management founded in 1986 and based in London, relies on ‘capital cycle’ analysis, which argues that high returns tend to attract capital and low returns repel it. The authors urge investors to closely monitor the amount of capital entering or exiting a particular industry as a guide to future potential returns. They back up their common-sense logic and investment framework with strong academic support and clear examples. We believe value investors, especially those that consider cyclical companies, will benefit from reading this book.