Mohnish Pabrai, one of my favourite investors, delivered a
lecture on value investing at the UC Davis Graduate School of Management in
2012 where he explained his philosophy of how we can all become great
investors. He introduced the idea of cloning and said that an investor
would dramatically improve their results if they simply copied what Buffett and
other value investor does.


What is cloning?

Based on Mohnish, cloning is a powerful concept and the best
strategy.  It involves reverse engineering
trades which meant applying the knowledge and expertise gained by the notable investors
(the likes of warren Buffet, Charlie Munger) in our investing methodologies.


So does cloning really work? Mohnish Pabrai explained that a study by
Gerald Martin and John Puthenpurackal (“Imitation is the Sincerest Form of
Flattery”) had proved that if investors had just bought the stocks that Warren
Buffett had bought, months after the official …