Restoring Traders/Investors Faith into Investing
- Thread starter Einstein
- Start date
- Tags portfolio tracker value investing warren buffett
My next work will be on Auto-Ancillary Sector in India.
Info: http://www.equitymaster.com/researc...c/Auto-Ancillaries-Sector-Analysis-Report.asp
Company
**Bosch
**Motherson Sumi
**Exide Inds.
**Amara Raja Batt.
**SKF India
**WABCO India
**Amtek Auto
**Fag Bearings
**Amtek India
**Timken India
**Sundaram Clayton
**Federal-Mogul Go
**Suprajit Engg.
**Wheels India
**Automotive Axles
**Shanthi Gears
**Banco Products
**NRB Bearings
**Fiem Inds.
**Gabriel India
**Sona Koyo Steer.
**I M P A L
**Munjal Showa
**L G Balakrishnan
**Phoenix Lamps
**Minda Inds.
*Sort by MarketCap
Info: http://www.equitymaster.com/researc...c/Auto-Ancillaries-Sector-Analysis-Report.asp
Company
**Bosch
**Motherson Sumi
**Exide Inds.
**Amara Raja Batt.
**SKF India
**WABCO India
**Amtek Auto
**Fag Bearings
**Amtek India
**Timken India
**Sundaram Clayton
**Federal-Mogul Go
**Suprajit Engg.
**Wheels India
**Automotive Axles
**Shanthi Gears
**Banco Products
**NRB Bearings
**Fiem Inds.
**Gabriel India
**Sona Koyo Steer.
**I M P A L
**Munjal Showa
**L G Balakrishnan
**Phoenix Lamps
**Minda Inds.
*Sort by MarketCap
Just Finished reading 'The Intelligent Investor'. Everytime it teaches something new..
here are some of the line, which I think real investors should definitely read.
Sir Isaac Newton was one of the most intelligent people who ever
lived, as most of us would define intelligence. But, in Graham’s terms,
Newton was far from an intelligent investor. By letting the roar of the
crowd override his own judgment, the world’s greatest scientist acted
like a fool.
The people who take the biggest gambles and make the
biggest gains in a bull market are almost always the ones who get hurt
the worst in the bear market that inevitably follows. (Being “right”
makes speculators even more eager to take extra risk, as their confidence catches fire.)
And once you lose big money, you then have to gamble even harder just to get back to where
you were, like a racetrack or casino gambler who desperately doubles up after every bad bet.
On the other hand, investing is a unique kind of casino—one where
you cannot lose in the end, so long as you play only by the rules that
put the odds squarely in your favor. People who invest make money for
themselves; people who speculatemake money for their brokers.
If you want to speculate do so with your eyes open, knowing that you will probably lose
money in the end; be sure to limit the amount at risk and to
separate it completely from your investment program.
No doubt there will be new regulations and new prohibitions.
The specific abuses of the late 1960s will be fairly adequately
banned from Wall Street. But it is probably too much to expect that
the urge to speculate will ever disappear, or that the exploitation of
that urge can ever be abolished.
A handful of companies—including Coca-Cola, Gillette, and
USA Interactive—have begun to “just say no” to Wall Street’s
short-term thinking. These few brave outfits are providing more
detail about their current budgets and long-term plans, while
refusing to speculate about what the next 90 days might hold.
As the enduring antidote to this kind of bull-market baloney, Graham
urges the intelligent investor to ask some simple, skeptical questions.
Why should the future returns of stocks always be the same as their
past returns? When every investor comes to believe that stocks are
guaranteed to make money in the long run, won’t the market end up
being wildly overpriced? And once that happens, how can future
returns possibly be high?
No intelligent investor, no matter how starved for yield, would
ever buy a stock for its dividend income alone; the company and its
businesses must be solid, and its stock price must be reasonable.
The intelligent investor will not do his buying and selling solely on
the basis of recommendations received from a financial service
the intelligent investor should remember that most analysts do not analyze businesses. Instead,
they engage in guesswork about future stock prices. He should pay attention to the advice and
recommendations received from investment banking houses, especially those known by him to
have an excellent reputation and record.
Losingsomemoney is an inevitable part of investing, and there’s nothing you can do to prevent it.
But, to be an intelligent investor, you must take responsibility for ensuring that you never lose
most or allof your money. The Hindu goddess of wealth, Lakshmi, is often portrayed standing on
tiptoe, ready to dart away in the blink of an eye. To keep her sym-bolically in place, some of Lakshmi’s
devotees will lash her statue down with strips of fabric or nail its feet to the floor. For the intelligent investor,
Graham’s “margin of safety” performs the same function: By refusing to pay too much for an investment,
you minimize the chances that your wealth will ever disappear or suddenly be destroy
around the time he finished writing The Intelligent Investor.The $712,500
that Graham and Newman put into GEICO was roughly 25% of their fund’s
assets at the time. Graham was a member of GEICO’s board of directors
for many years. In a nice twist of fate, Graham’s greatest student, Warren
Buffett, made an immense bet of his own on GEICO in 1976, by which time
the big insurer had slid to the brink of bankruptcy. It turned out to be one of
Buffett’s best investments as welled.
here are some of the line, which I think real investors should definitely read.
Sir Isaac Newton was one of the most intelligent people who ever
lived, as most of us would define intelligence. But, in Graham’s terms,
Newton was far from an intelligent investor. By letting the roar of the
crowd override his own judgment, the world’s greatest scientist acted
like a fool.
The people who take the biggest gambles and make the
biggest gains in a bull market are almost always the ones who get hurt
the worst in the bear market that inevitably follows. (Being “right”
makes speculators even more eager to take extra risk, as their confidence catches fire.)
And once you lose big money, you then have to gamble even harder just to get back to where
you were, like a racetrack or casino gambler who desperately doubles up after every bad bet.
On the other hand, investing is a unique kind of casino—one where
you cannot lose in the end, so long as you play only by the rules that
put the odds squarely in your favor. People who invest make money for
themselves; people who speculatemake money for their brokers.
If you want to speculate do so with your eyes open, knowing that you will probably lose
money in the end; be sure to limit the amount at risk and to
separate it completely from your investment program.
No doubt there will be new regulations and new prohibitions.
The specific abuses of the late 1960s will be fairly adequately
banned from Wall Street. But it is probably too much to expect that
the urge to speculate will ever disappear, or that the exploitation of
that urge can ever be abolished.
A handful of companies—including Coca-Cola, Gillette, and
USA Interactive—have begun to “just say no” to Wall Street’s
short-term thinking. These few brave outfits are providing more
detail about their current budgets and long-term plans, while
refusing to speculate about what the next 90 days might hold.
As the enduring antidote to this kind of bull-market baloney, Graham
urges the intelligent investor to ask some simple, skeptical questions.
Why should the future returns of stocks always be the same as their
past returns? When every investor comes to believe that stocks are
guaranteed to make money in the long run, won’t the market end up
being wildly overpriced? And once that happens, how can future
returns possibly be high?
No intelligent investor, no matter how starved for yield, would
ever buy a stock for its dividend income alone; the company and its
businesses must be solid, and its stock price must be reasonable.
The intelligent investor will not do his buying and selling solely on
the basis of recommendations received from a financial service
the intelligent investor should remember that most analysts do not analyze businesses. Instead,
they engage in guesswork about future stock prices. He should pay attention to the advice and
recommendations received from investment banking houses, especially those known by him to
have an excellent reputation and record.
Losingsomemoney is an inevitable part of investing, and there’s nothing you can do to prevent it.
But, to be an intelligent investor, you must take responsibility for ensuring that you never lose
most or allof your money. The Hindu goddess of wealth, Lakshmi, is often portrayed standing on
tiptoe, ready to dart away in the blink of an eye. To keep her sym-bolically in place, some of Lakshmi’s
devotees will lash her statue down with strips of fabric or nail its feet to the floor. For the intelligent investor,
Graham’s “margin of safety” performs the same function: By refusing to pay too much for an investment,
you minimize the chances that your wealth will ever disappear or suddenly be destroy
around the time he finished writing The Intelligent Investor.The $712,500
that Graham and Newman put into GEICO was roughly 25% of their fund’s
assets at the time. Graham was a member of GEICO’s board of directors
for many years. In a nice twist of fate, Graham’s greatest student, Warren
Buffett, made an immense bet of his own on GEICO in 1976, by which time
the big insurer had slid to the brink of bankruptcy. It turned out to be one of
Buffett’s best investments as welled.
Bank of America Merill Lynch increased its target price on Motherson Sumi day after my Buy rating on this company, what are they spying on this forum, lol..
http://www.moneycontrol.com/news/bu...i-hits-new-high8-boaml-bullishit_1062671.html
http://www.moneycontrol.com/news/bu...i-hits-new-high8-boaml-bullishit_1062671.html
Best thread I've read on Value Investing.
Looks like I'll be reading the book The Intelligent Investor.
It would be nice to have a step by step breakdown on the analysis of these stocks (in the portfolio.) @Einstein, are ya planning on running a hedge fund? In case I ever truly get value investing, running an investment company might be one of the first things I do.
Looks like I'll be reading the book The Intelligent Investor.
It would be nice to have a step by step breakdown on the analysis of these stocks (in the portfolio.) @Einstein, are ya planning on running a hedge fund? In case I ever truly get value investing, running an investment company might be one of the first things I do.
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