Characteristics of Investible grade
How an investor thinks : Characteristics of Investible grade
There are a few things that make a company investible grade stand out. There are two main groups that these traits can be put into: the "qualitative aspects" and the "quantitative aspects". Both of these things are looked at when figuring out if a company is truly strong. When it comes to my own investments, I actually put a little more weight on the qualitative factors than the quantitative ones.
"The Qualitative Aspect" is mostly about knowing the parts of the business that don't involve numbers.
"The quantitative aspects" are things that have to do with money. There are some numeric parts that are easy to understand and some that are not. For instance, "cash held in inventory" is easy to understand, but "inventory number of days" is not. This is a measure that needs to be worked out. A lot of attention is paid to numbers in the stock markets.
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