Keep INVESTING Simple and Safe (KISS)
****Investment Philosophy, Strategy and various Valuation Methods****
The same forces that bring risk into investing in the stock market also make possible the large gains many investors enjoy. It’s true that the fluctuations in the market make for losses as well as gains but if you have a proven strategy and stick with it over the long term you will be a winner!****Warren Buffett: Rule No. 1 - Never lose money. Rule No. 2 - Never forget Rule No. 1.
The Intelligent Investor Book Review in 30 Minutes
The Intelligent Investor, by Benjamin Graham, is probably the most important and influential value investing book ever written. Warren Buffet described it as “by far the best book ever written on investing”.
It had been 8 years since I last read The Intelligent Investor. I have enjoyed my personal “refresher course” in value investing.
Objective of The Intelligent Investor Book
Benjamin Graham’s objective was to provide an investment policy book for the ordinary investor. He succeeded in putting seemingly hard concepts into terms that could be understood and, more importantly, implemented by the average investor.
The typical investor has a tendency to “follow the market” and learns poor investment habits trying to beat the market. Instead, Graham gives us an alternative based on fundamental valuation.
The goal is to learn how to avoid the pitfalls of allowing our emotions to control our investment decisions. Rather, Graham provides the foundation for making businesslike decisions based on fundamental investing principles .
The Intelligent Investor puts special emphasis on teaching:
1. Risk management through asset allocation and diversification.
2. Maximizing probabilities through valuations analysis and margin of safety.
3. A disciplined approach that will prevent consequential errors to a portfolio.
The Intelligent Investor Book Review Lay Out:
(There is a link at the end of each part so you can read all 8 parts in succession, in less than 30 minutes!)
I think you will be excited as we explore the knowledge and wisdom Benjamin Graham left with us. If you have the time, feel free to purchase the book and leave your personal insights and thoughts in the comment section as you progress!