You are here

CFA SINGAPORE INSIGHTS

Building blocks - understanding the investment fundamentals of construction and engineering

A look at the changes taking place in the industry and the basics that are needed for company analysis

BT_20190629_CFA29_3821041.jpg
Construction industry margins are notoriously low, making cost structure paramount. As such, a company's books must be closely inspected. Its main contract types need to be identified and the benefits and drawbacks of each learnt.

CONSTRUCTION and engineering is almost certainly the oldest industry we will explore in our investment frameworks series, as it goes back to our fundamental need for shelter. In 4850 BC, our Neolithic ancestors constructed the Cairn of Barnenez - the world's oldest-surviving building. This...

BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes