Author. Date: 18 Jan 2010, Views.

The Business of Value Investing: Six Essential Elements to Buying Companies Like Warren Buffett By Sham M. Gad

Publisher: Wiley 2009-10-19 | 268 Pages | ISBN: 0470444487 | File type: PDF | 1.3 mb

A blueprint to successful value investing

Successful value investors have an ingrained mental framework through which all investments decisions are made. This framework, which stems from the father of value investing, Benjamin GrahamЁCwho believed that investment is most intelligent when it is most businesslikeЁCcan put you in a better position to improve the overall performance of your portfolio.

Written by Sham GadЁCfounder of the Gad Partners Funds, a valueЁCfocused investment partnership inspired by the 1950s Buffett PartnershipsЁCThe Business of Value Investing effectively examines the fundamental tenants of this approach and skillfully illustrates the six essential elements of the entire process. Opening with some informative discussions of how value investing focuses more on buying a piece of a business, and less on buying a companyЎдs stock, this reliable resource quickly moves on to detail exactly what it takes to become a successful value investor.

Outlines the six essential elements required for a successful risk averse value investment approach

Contains case studies that illustrate how to approach investing in an intelligent, businesslike fashion

Walks you through the pitfalls that most investors initially fall into

With The Business of Value Investing as your guide, youЎдll quickly become familiar with one of the most effective investment strategies ever created.

From the Inside Flap Buy a business, donЎдt rent stocks.ЎЄWarren Buffett

While youЎдve probably heard numerous financial experts talk about the many ways to make money in the markets, the fact is, thereЎдs only one strategy that has truly proven itself over the years. Thanks to the foundation laid out by Benjamin Graham and expanded upon by Warren Buffett and others, value investingЎЄwhich consists of buying the stock of companies that trade for less than their intrinsic value in order to maximize return while minimizing riskЎЄhas helped countless individuals consistently build wealth by avoiding permanent capital loss.

Successful value investors have an ingrained mental framework through which all investment decisions are made. This framework, which stems from GrahamЎдs belief that investment is most intelligent when it is most businesslike, can put you in a better position to improve the overall performance of your portfolio.

Written by Sham GadЎЄfounder of the Gad Partners Funds, a valueЁCfocused investment partnership inspired by the 1950s Buffett PartnershipsЎЄThe Business of Value Investing effectively examines the fundamental tenants of this approach and skillfully illustrates the six essential elements of the entire process. Opening with informative discussions of how value investing focuses more on buying a piece of a business and less on buying a companyЎдs stock, this reliable resource quickly moves on to detail exactly what it takes to become a successful value investor.

Develop a sound investment philosophy

Have a good search strategy

Know how to value a business and assess the quality of management

Have the discipline to say no

Practice the art of patience

Have the courage to make a significant investment at the point of maximum pessimism

Along the way, youЎдll become familiar with specific case studies that illustrate how to approach investing in an intelligent, businesslike fashion. Each oneЎЄall of which were actual investments made by the author at one time or another in his careerЎЄoffers a different way to determine whether a company under investigation is indeed a bargain investment opportunity.

For those willing to put forth the effort and show some patience, the stock market offers the greatest forum for wealth accumulation. Filled with inЁCdepth insights and practical advice, this reliable resource can help you make the most of your time in todayЎдs markets, by following a valueЁCoriented approach to investing that continues to make sense.