Health is wealth

Check for signs that a company is healthy before putting it in your investment portfolio

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Health equals wealth. That's an old adage that we've all heard before. And from an investment perspective, the parallels between health and wealth may run deeper than you think.

What you put into your body can fundamentally affect your physicality. Similarly, from a value investing perspective, the companies that go into a fund or portfolio are crucial to keeping it fit for a purpose, that is, to deliver value over the long term while helping to ride out market volatility.

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A version of this article appeared in the print edition of The Sunday Times on October 27, 2019, with the headline Health is wealth. Subscribe