Charlie has said that he has trouble getting his own family to
follow value investing principles so he has little hope of his ideas being widely adapted.
Another way of putting it is — Behavioral Finance is the study of emotional impulses that cause some investors to fail to
follow Value Investing principles.
Not exact matches
As we have discussed numerous times, the best and easiest way to make money in the stock market is to
follow the
principles of
value investing.
The book starts with the general investment
principles of Mobius, which are clearly derived from
value investing «Graham - style»
following his mentor John Templeton.
Even if you find
value investing boring or have no intention to
follow its
principles, you can learn from understanding how it works and has evolved from its original nature based on the ideas of a few people including Munger.
Disciplined investors can beat out the speculators by
following the
principles of
value investing, through careful examination of a stock in order to purchase securities that are trading below their intrinsic
value and offer a margin of safety.
Aside from the
principles mentioned above, additional doctrines should also be
followed to make sure that the
value investing process is successfully carried out.
In general, it is far better to
follow the
principles that Buffett has espoused —
value investing, than to try to mimic Buffett himself.
So, at the end of day,
following our 10
Principles of
Value Investing ™, looking for undervalued stocks with low multiples of earnings, cash flow, and book
values, with strong balance sheets, and a dividend — which AVD pays a small dividend — we see AVD fitting the bill for us in the portfolio today.