Value Investing?

[nastynatedub]

So I've heard that value investing is a well-known, successful investment strategy in the long-term. can anyone else back this up with personal experiences, thoughts, is this statement true or false? Plus, could anyone define in detail what value investing is? and how to do it well? . Thank You.

[PRE]

1. Yes, it can work.

2. google.com

[UCLAseetoK]

read the FAQ. don't be lazy, do it.

also, www.investopedia.com for most basic definitions type questions

[DesertCat]

This is what I do for a living. I'm able to earn above market returns, high enough to support my family in good comfort. I started as a full time value investor about 5 years ago.

Value investing is the pursuit of buying investments for substantially less ("margin of safety") than their true (intrinsic) value, and selling them when the approach intrinsic value.

If you want to learn more, just go to berkshirehathaway.com and read Warren Buffett's shareholder letters for the last 25 years. They all discuss value investing and how it works. Beyond that the FAQ gives you plenty of reading material, but you should probably start with Ben Graham's "The Intelligent Investor". If you can't get through that it's probably not for you.

[ahnuld]

on that note, is the book "The essays of warren Buffett" worth it, or should I just get the letters from the site?

[DesertCat]

[ QUOTE ]
on that note, is the book "The essays of warren Buffett" worth it, or should I just get the letters from the site?

[/ QUOTE ]

Never read it. I think it's just an organised version of the shareholder letters. Probably worthwhile though.

[SlowHabit]

[ QUOTE ]
on that note, is the book "The essays of warren Buffett" worth it, or should I just get the letters from the site?

[/ QUOTE ]
I love that book.

[PRE]

Every book on Buffett is essentially a collection of his shareholder letters.

[MarkD]

DC,

I'm not sure if this has been discussed on here before, but what was your background in investing before you "went pro" for lack of a better description.

I guess, I'm asking, were you formally trained in stock analysis and investing or was everything self taught with Grahm as a foundation and did you have a long proven track record prior to doing it for a living?

I know you were involved in some startup's prior to this career, and I know you invest in small cap stuff that you keep secret, but is that small cap stuff you invest in a niche you were intricatly familiar with prior to investing or is it something you stumbled into through stock screeners and since then you've specialized in it? Or do you have a wide range of small cap stocks in various industries totally unrelated to each other in your portfolio?

What I'm driving at is that I think I am quite interested in learning about value investing and have started grahm (about chapter four and so far the bond stuff is kind of meh), but I am unsure if a non-formally trained dude reading the normal standard books everyone on here touts really has a shot at beating the market?

If someone like me can learn it over a span of a year or two of research what type of returns would be expected? I"m guessing S&P < me < buffett but is it more of a S&P ~< me << buffett?

[nastynatedub]

[ QUOTE ]
read the FAQ. don't be lazy, do it.



[/ QUOTE ]

can you put a link
to this?, because i'm just not seeing what you're seein..sorry.