019 The 6 Capital Allocation Strategies & Steve's Return From the Woods

7investing Founder & CEO Simon Erickson and Lead Advisor Steve Symington talk about the 6 capital allocation strategies, their lack of caffeine, and Steve's return from the woods. 

Welcome to 7investing. We are here to empower you to invest in your future! We publish our 7 best ideas in the stock market to our subscribers for just $17 per month.

Start your journey toward's financial independence https://www.7investing.com/subscribe

Stop by our website to level-up your investing education:  https://www.7investing.com

Follow us on Social Media

► https://www.facebook.com/7investing/

► https://twitter.com/7investing

► https://instagram.com/7investingofficial

Timestamps:

00:30 - Review of Steve’s 8-day camping extravaganza

1:40 - Introduction to capital allocation: ties business performance to investment performance. Six different options for capital allocation

2:30 Option 1: do nothing, stock pile cash on the balance sheet

4:50 Option 2: reinvest capital to grow the business

8:50 Option 3: acquisitions

15:00 Option 4: share buybacks

19:00 Option 5: pay down debt

25:00 Option 6: paying a dividend

32:00 Steven and Simon’s favorite and least favorite capital allocation strategies.

Resources mentioned:

“The Secret Tesla Motors Masterplan” blog post by Elon Musk in 2006

Companies mention: Apple (AAPL), Mastercard (MA), Amazon (AMZN), Tesla (TSLA), Berkshire Hathaway (BRKB), Starbucks (SBUX), General Electric (GE), Corning (GLW), Disney (DIS)