Badass vs Dumbass
Master your Financial Kung Fu to be one and not the other.
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Go to Sifu’s Notebook for How to Invest for Profit and Ethics
Primer: Who are Sifu & Ronin
Episode 39: Ronin and His Winners
Ronin: Sifu! Need your help, bro. I’m rebalancing my stock portfolio and I’m having some difficulty.
Sifu: Oh? What’s the problem, #1?
Ronin: To get to FIRE, I need to invest in the most profitable stocks, but some of these companies are very controversial. I’m not sure if it’s the right thing to do. You know – get rich AF, but fuck society or the environment while doing so.
Sifu: Hmmm. It seems you need to balance your need for profit and the need to do the right thing.
Ronin: Yeah boss. Making tons of money for early retirement is fantastic, but I can’t enjoy it in a broken world. Can I?
Sifu: Ha! Who knew that mighty Ronin might have a heart underneath all that brawn and dumbassery?
Ronin: Hey hey! Cool your jets, Captain. I have feelings, man.
Sifu: True dat. Let’s navigate a path forward for you. One that can possibly deliver on both fronts: profit and ethics.
Ronin: Yes sir! That is what I need.
Sifu: I’ve spec’d out a list of the top profitable companies for you to consider in your investments. From my research, I’ve included the good and bad for each company along with an ethical rating out of 100 that might guide your stock picking.
Ronin: Oh, so cool boss!
Sifu: Just keep in mind that these ratings are somewhat subjective. At the end of the day, you need to make the picks based on your own feelings about these companies. So use the guide, but always make the final call on whether it makes sense for you.
Ronin [After reading the list]: Great information, as always Sifu! I see Coke is tops – a bit surprising, but facts are facts. Maybe I’ll invest in that, but only drink their products occasionally. Not looking to get more cavities.
Photo by Jordan Whitfield on Unsplash
Sifu: Ha! The data supports the findings, so it’s up to you to make the call on each of them to see if they will get you the profits, and if you can live with their controversial issues.
Ronin: I like Microsoft, Apple, Disney and a few others on the list, so it’s good to know they are more or less ethical in how they do their business.
Photo by Kenrick Mills on Unsplash
Sifu: Yes, very helpful. What do you think about Tesla?
Ronin: I’m a fan on EV tech, but I hate that weirdo, Elon Musk. Sure, he may be a genius for some things, but what a fucking dick. Hard pass on anything Tesla or Musk related.
Sifu: There you go, you’ll sleep better at night by investing with both your brain and your heart. What about Amazon, Uber, Meta and Google?
Ronin: Let’s see. I think “yes” to Google – they’re not perfect, but have to respect their leadership. Amazon and Uber get a lukewarm “maybe”. The convenience they provide is unbeatable, but worried about how workers are getting shafted, so will keep an eye on them for now. And a definite hard pass to Meta. Zucks and his social media monster are destroying the fabric of our society.
Sifu: Good calls, #1. Your choices are good ones.
Ronin: Thanks boss – I’m glad they’re “Sifu-approved”. Now I just need to invest in a good Japanese restaurant chain.
Sifu: Huh? Why’s that?
Photo by Derek Duran on Unsplash
Ronin: Well, you know – my appetite for delicious sushi is insatiable boss. If I’m going to spend money going out, I may as well pay myself through the company’s profits. Genius, right?
Sifu: Hahaha. You and Warren Buffet must be twins!
Sifu’s Notebook
How to Invest for Profit and Ethics
Here is a list of 25 very profitable companies in America. Use the accompanying information about their issues along with their ethical rating to determine if you can invest in them. Sifu has given his thoughts along with a recommendation on whether you might consider using their product/service.
1. Coca-Cola Co. (KO)
- Ethical Rating: 85/100
- Pros:
- Strong global presence and brand recognition.
- Commitment to sustainability and community initiatives.
- Cons:
- Health concerns regarding sugary drinks.
- Water usage controversies in some regions.
- Investment Recommendation: Yes, reliable dividends. Use Products: Yes, for occasional enjoyment.
2. Microsoft Corp. (MSFT)
- Ethical Rating: 76/100
- Pros:
- Strong corporate responsibility initiatives.
- Commitment to diversity and inclusion.
- Philanthropic efforts in education and technology.
- Cons:
- Data privacy issues have raised concerns.
- Monopolistic practices have faced scrutiny.
- Investment Recommendation: Yes, consistent growth. Use Products: Yes, effective productivity tools.
3. Apple Inc. (AAPL)
- Ethical Rating: 72/100
- Pros:
- Strong commitment to user privacy and data protection.
- Continuous innovation in technology and design.
- Charitable initiatives and community engagement.
- Cons:
- Labor practices in overseas factories have faced criticism.
- Environmental concerns regarding product lifecycle.
- Investment Recommendation: Yes, strong growth potential. Use Products: Yes, innovative and high-quality.
4. Walt Disney Co. (DIS)
- Ethical Rating: 67/100
- Pros:
- Strong commitment to family entertainment and creativity.
- Community engagement and charitable initiatives.
- Cons:
- Criticism regarding labor practices in theme parks.
- Content controversies regarding representation.
- Investment Recommendation: Yes, due to brand strength. Use Products: Yes, for entertainment.
5. PepsiCo, Inc. (PEP)
- Ethical Rating: 66/100
- Pros:
- Diverse product range beyond sugary drinks.
- Commitment to sustainability and health initiatives.
- Cons:
- Health concerns regarding sugary products.
- Water usage controversies in some regions.
- Investment Recommendation: Yes, reliable dividends. Use Products: Yes, for occasional enjoyment.
6. Procter & Gamble Co. (PG)
- Ethical Rating: 65/100
- Pros:
- Strong sustainability commitments.
- Diverse product offerings.
- Cons:
- Criticized for some environmental practices.
- Marketing strategies can be misleading.
- Investment Recommendation: Yes, reliable and innovative. Use Products: Yes, trusted household brands.
7. NVIDIA Corporation (NVDA)
- Ethical Rating: 64/100
- Pros:
- Leader in GPU technology.
- Strong commitment to innovation and research.
- Cons:
- Environmental concerns over energy consumption.
- Limited supply chain transparency.
- Investment Recommendation: Yes, growth potential in AI and gaming. Use Products: Yes, high-performance graphics cards.
8. Johnson & Johnson (JNJ)
- Ethical Rating: 64/100
- Pros:
- Commitment to health and wellness products.
- Diverse product range across multiple sectors.
- Cons:
- Legal controversies regarding product safety.
- Criticisms related to opioid crisis.
- Investment Recommendation: Yes, strong market presence. Use Products: Yes, trusted health products.
9. Mastercard Inc. (MA)
- Ethical Rating: 62/100
- Pros:
- Strong commitment to security and fraud prevention.
- Supports financial inclusion initiatives.
- Cons:
- Fees can be high for merchants.
- Market dominance raises competition concerns.
- Investment Recommendation: Yes, consistent growth. Use Products: Yes, widely accepted.
10. UnitedHealth Group Incorporated (UNH)
- Ethical Rating: 60/100
- Pros:
- Strong commitment to healthcare innovation.
- Extensive charitable initiatives.
- Cons:
- Criticisms over high insurance premiums.
- Legal issues related to health practices.
- Investment Recommendation: Yes, strong healthcare market presence. Use Products: Yes, for health insurance.
11. Walmart Inc. (WMT)
- Ethical Rating: 60/100
- Pros:
- Low prices benefit consumers.
- Community initiatives.
- Cons:
- Labor practices under scrutiny.
- Negative impact on local businesses.
- Investment Recommendation: Yes, but with ethical considerations. Use Products: Yes, affordable goods.
12. Tesla Inc. (TSLA)
- Ethical Rating: 58/100
- Pros:
- Innovation in sustainable energy solutions.
- Strong market presence.
- Cons:
- Labor practices at manufacturing plants.
- CEO’s behavior has faced criticism.
- Investment Recommendation: Yes, growth potential in EV market. Use Products: Yes, leading EV technology.
13. Visa Inc. (V)
- Ethical Rating: 57/100
- Pros:
- Strong security measures in financial transactions.
- Supports small businesses with payment solutions.
- Cons:
- Fees can be high for merchants.
- Monopoly-like position in the market.
- Investment Recommendation: Yes, consistent growth. Use Products: Yes, widely accepted.
14. Chevron Corporation (CVX)
- Ethical Rating: 55/100
- Pros:
- Investments in renewable energy initiatives.
- Community engagement programs.
- Cons:
- Significant environmental controversies.
- Ongoing debates about fossil fuels.
- Investment Recommendation: Cautiously, due to ethical concerns. Use Products: Cautiously, environmental impact.
15. IBM (International Business Machines Corp.) (IBM)
- Ethical Rating: 55/100
- Pros:
- Focus on AI and cloud solutions.
- Commitment to ethical AI practices.
- Cons:
- Declining relevance in some markets.
- Criticism for labor practices and layoffs.
- Investment Recommendation: Cautiously, watch for growth. Use Products: Yes, for enterprise solutions.
16. Caterpillar Inc. (CAT)
- Ethical Rating: 55/100
- Pros:
- Innovative construction and mining products.
- Commitment to sustainability and reducing emissions.
- Cons:
- Environmental impact of construction practices.
- Criticism of labor practices in manufacturing.
- Investment Recommendation: Yes, for growth potential. Use Products: Yes, for reliable machinery.
17. AT&T Inc. (T)
- Ethical Rating: 55/100
- Pros:
- Wide range of telecommunications services.
- Commitment to community initiatives.
- Cons:
- Criticism over service quality and pricing.
- Debt levels and financial health concerns.
- Investment Recommendation: Cautiously, due to financial issues. Use Products: Yes, but compare with others.
18. Amazon.com Inc. (AMZN)
- Ethical Rating: 53/100
- Pros:
- Efficient delivery services and vast product range.
- Community support initiatives.
- Cons:
- Labor practices under scrutiny.
- Negative impact on small businesses.
- Investment Recommendation: Yes, strong growth potential. Use Products: Yes, convenient shopping.
19. Intel Corporation (INTC)
- Ethical Rating: 53/100
- Pros:
- Leader in semiconductor technology.
- Commitment to diversity and inclusion.
- Cons:
- Environmental concerns over production processes.
- Competitive pressures from other firms.
- Investment Recommendation: Yes, potential in tech growth. Use Products: Yes, trusted computer components.
20. 3M Company (MMM)
- Ethical Rating: 53/100
- Pros:
- Wide range of innovative products.
- Commitment to sustainability.
- Cons:
- Legal issues related to product safety.
- Environmental concerns regarding manufacturing.
- Investment Recommendation: Cautiously, due to ethical concerns. Use Products: Yes, for reliable products.
21. Ford Motor Co. (F)
- Ethical Rating: 50/100
- Pros:
- Strong commitment to electric vehicle development.
- Community involvement initiatives.
- Cons:
- Criticized for labor practices.
- Environmental concerns regarding traditional vehicles.
- Investment Recommendation: Cautiously, due to ethical concerns. Use Products: Yes, for reliable vehicles.
22. Bank of America Corp. (BAC)
- Ethical Rating: 48/100
- Pros:
- Commitment to environmental sustainability initiatives.
- Support for low-income communities.
- Cons:
- Criticized for high fees and poor customer service.
- Past legal issues related to lending practices.
- Investment Recommendation: Cautiously, due to ethical concerns. Use Products: Cautiously, for banking services.
23. Boeing Co. (BA)
- Ethical Rating: 45/100
- Pros:
- Innovation in aerospace technology.
- Contributions to transportation and logistics.
- Cons:
- Safety concerns from crashes and regulatory scrutiny.
- Ethical concerns around military contracts.
- Investment Recommendation: Cautiously, due to ethical considerations. Use Products: Yes, for commercial travel.
24. ExxonMobil Corp. (XOM)
- Ethical Rating: 40/100
- Pros:
- Investments in renewable energy projects.
- Strong financial performance.
- Cons:
- Major environmental controversies.
- Significant negative impact on climate change.
- Investment Recommendation: Cautiously, due to ethical concerns. Use Products: Cautiously, due to environmental impact.
25. Meta Platforms Inc. (META)
- Ethical Rating: 30/100
- Pros:
- Strong innovation in social media and technology.
- Community engagement initiatives.
- Cons:
- Major privacy concerns and data breaches.
- Misinformation issues have been prevalent.
- Investment Recommendation: Yes, but watch for regulatory impacts. Use Products: Cautiously, due to privacy concerns.
