INTELLIGENT INVESTOR

By far the best book on investing ever written - Warren Buffett


Benjamin Graham, the mentor and teacher of Warren Buffett and thousands of other students at Columbia Business School wrote this book in 1950 has had numerous editions and updates.

I recently read revised 2006 edition of Benjamin Graham's The Intelligent Investor published by First Collins Business Essentials. I couldn't find a copy of it on Amazon (go figure) but found this copy in the local public library.

Graham takes a look into the psyche of the investor and brings him/her face to face with his/her worst enemy, themselves. Graham differentiates the speculator from the investor and helps helps them to realize the inefficiencies within the market and helps navigate the investor through these inefficiencies to find bargains and discounts so that the investor may beat the market in the long term.

I highly recommend reading this and other books by Graham as well as Buffett. Very helpful for those of you who want to be an Intelligent Investor.



Part 1: Intro and the Defensive Investor

Part 2: The Enterprising Investor

Part 3: Mr. Market

Part 4: Security Analysis

Part 5: Margin of Safety and Conclusion



As a followup on Ben Graham's investing strategy, I took a look at a more contemporary money manager, Ken Fisher.

Here are three posts outlining some of his thoughts from 3 Questions that Count.

Book Report:
Only Three Questions (Part 1)
Only Three Questions (Part 2)
Only Three Questions (Part 3)

Links:
Wikipedia: Three Questions
Forbes Review
Official Website



Columbia Professor and author Joel Greenblatt uses similar value investing. He calls it his magic formula. Is the stock cheap relative to earnings? What is the return on capital of the business? He ranks stocks based on these two criteria. This takes Ben Graham's version of cheapness and Warren Buffett's good business technique.





Author of You may be a stockmarket genius.

So Warren calls himself 85% Ben Graham and 15% Philip Fisher. Who is Philip Fisher? Any relation to Ken Fisher? Why of course. Philip is Ken's dad. He wrote the book: Common Stocks and Uncommon Profits. I hope to review this book next.