Books – Page 3 – Buffettpedia

A game of Snap, of Old Maid, of Musical Chairs – John Maynard Keynes

July 19, 2015

“For it is, so to speak, a game of Snap, of Old Maid, of Musical Chairs — a pastime in which he is victor who says Snap neither too soon nor too late, who passed the Old Maid to his neighbour before the game is over, who secures a chair for himself when the music…

The Little Book of Common Sense Investing by John C. Bogle

April 2, 2015

In his letter dated February 27, 2015 (for FY2014) to Berkshire Hathaway shareholders, Warren Buffett says: “Rather than listen to their (advisors’) siren songs, investors – large and small – should instead read Jack Bogle’s The Little Book of Common Sense Investing. “Stock prices will always be far more volatile than cash-equivalent holdings. Over the long…

Charlie Munger’s “lollapalooza effect” concept

January 20, 2015

In stock markets, we hear of this term called “lollapalooza effect”. In mid-2014, for example, when the stock of Apple plummeted at one stage by 40 per cent from a high of $700 to just below $400, the cause was attributed in some quarters to the “lollapalooza effect”. In a June 2014 article , “Apple Stock Still…

Mr Market a Drunken Psycho: Warren Buffett

January 17, 2015

Legendary investor Warren Buffett, the Sage of Omaha, recently referred to Mr Market as the “Drunken Psycho”. Aspiring value investors need to know who Mr Market is to understand why Warren Bufftett calls him a Drunken Psycho. Warren Buffett has in a letter to Berkshire Hathaway also called Mr Market the poor fellow with incurable emotional…

Economic moats checklist

January 13, 2015

“A moat is a deep, broad ditch, either dry or filled with water, that surrounds a castle, fortification, building or town, historically to provide it with a preliminary line of defence.” – Wikipedia. Legendary investor Warren Buffett coined the term “moat” in finance. A company needs a moat to protect its profitability and to fence itself…

Market Value vs Intrinsic Value of a stock

January 10, 2015

To better understand what “intrinsic value” is for a stock, let’s first look at the stock’s price-earnings ratio , sometimes referred to as the PER, the P/E ratio or just the P/E. The price (P) in the numerator refers to the price of the stock. The earnings (E) in the denominator refers to the earnings…

Are you an intelligent investor?

January 7, 2015

One great bonus in reading the revised edition of Benjamin Graham’s The Intelligent Investor book is the accompanying commentary for each chapter and even for the introduction by veteran investment writer Jason Zweig. What exactly does Benjamin Graham mean by an “intelligent” investor? “Back in the first edition of this book (The Intelligent Investor), (Benjamin)…

Philip Fisher’s “Fifteen Points to Look for in a Common Stock”

January 1, 2015

American stock investor Philip Arthur Fisher (September 8, 1907 – March 11, 2004) was best known as the author of the investment guide book Common Stocks and Uncommon Profits. The book has the reputation of staying in print since it was first published in 1958. Among his best-known followers is Warren Buffett who on some…

Benjamin Graham’s The Intelligent Investor (Book review)

December 28, 2014

“I read the first edition of this book early in 1950, when I was nineteen. I thought then that it was by far the best book about investing ever written. I still think it is.” These words in a preface to a revised edition of The Intelligent Investor by Benjamin Graham, the father of value…

Benjamin Graham’s The Intellingent Investor Chapter 20 (Margin of Safety As The Central Concept Of Investment)

December 26, 2014

In a section of his letter to Berkshire Hathaway shareholders on February 28, 2014 for FY2013, Warren Buffett shared “Some Thoughts About Investing” (Post: Investment is most intelligent when it is most businesslike) . He also shared more about Benjamin Graham, his teacher and friend, and about Benjamin Graham’s book, The Intelligent Investor . “Ben’s ideas…