Recently, I chanced upon a value investing book while browsing at Bangkok’s Kinokuniya. After browsing through a few pages, I decided to get the ebook version and continue reading.
What Make Benjamin Graham’s Principles Of Value Investing So Hard To Follow?
Reason? It’s very layman term and useful for noob like me.
The title of the book is Charlie Munger : The Complete Investor (authored by Tren Griffin). As I am still at the beginning of the book, there are much to learn from the author. However, I would like to re-share the 4 fundamental principles of value investing by Benjamin Graham (as shared by the author) here and my view of why they are so hard to follow especially for retail investors?
PRINCIPLE 1 – Treat a share of stock as a proportional ownership of the business.
PRINCIPLE 2 – Buy at a significant discount to intrinsic value to create a margin of safety
PRINCIPLE 3 – …