During the 1800’s England was the number one country with an empire stretching around the globe. Sometimes one hears the reason for the empire was its great navy. That is partially true, but watching a You Tube documentary titled How the British Managed to Rule India. The story begins in February 1763 and the European countries divided the world up to which countries they would control. The British Empire became the largest with India, Canada, Hong Kong, Singapore, South Africa and many more.

Next time you heard about the Franco summit – those countries who first language is French is a direct result of the French Empire. Similar to other countries who first language is the same as an European country.

It is one thing to pick a country, it is a different thing to rule one. It is entirely possible to rule with an iron fist and many have tired that fashion. In India, after a couple of battles which included the East India Company leading troops to protect their interests. Britain came to rule India. Alliances were struck with Princes and Maharajas that they would stay in same in grand palaces, but the authority would be in British hands. Over the years, in was a question of who was ruling whom. The British built large government buildings, although their numbers were small. There was an uprising or likely many, but one in particular lasted a couple of months until the British Navy and other troops landed in India to kill all those involved in the uprising. Over time the British impose their institutional standards on India and often encourage and sent those in the higher ruling class of India to Britain to have an English education. When the people came back, would they be Indians or more desirable to keep the existing relationships?

In addition, The Viceroy of India until India became independent believed in large scale pageantry which kept the myth of the powerful ruling country. Myth plays a large role in keeping countries together.

Linking to dividend paying stocks, part of myth is branding. All profitable companies have some great brands, but that does not mean they are going to be that way all the time. As you examine your investments what myths hold true and how strong is the moat around them? If you still buy into it, you are likely not alone.

There are more questions than answers, till the next time – to raising questions.