Albert Einstein reminded us some time ago to "strive not to be a success, but rather to be of value." In the world of money management, there are many successful people managing large pools of capital. However, few of them…
“A frequently asked question is, how do you learn to be a great investor? First of all, you have to understand your own nature, said Munger. Each person has to play the game given his own marginal utility considerations and…
Charlie Munger, chairman of the Daily Journal Corporation, spoke and answered questions at DJCO’s annual meeting.
At the core of every investment is the capability of the people who are going to execute the plan. Great managers make average situations great and poor managers make great situations poor. The definition of “great” can be backward-looking and…
Special situation investing involves participating in variety of corporate actions like buyback, rights issue, spin-offs, asset sales, etc. These are low-risk arbitrage opportunities which can act as a significant source of generating alpha in an investor’s portfolio. In my Best…
Index funds present a set of challenges, where money flow and inclusion in an index creates individual buy/sell decisions. Those who invest in them may want to consider this final point: risk is investing without forming an idea of expected…
Yale CIO David Swensen sat down for a conversation on long-term investing with former treasury secretary Bob Rubin at the Council on Foreign Relations in 2017.
Christian Kahler of DZ Bank shared his research on value investing in spinoffs at European Investing Summit 2017. Christian has been practicing the rules of active value investing in his private life for years and is influenced by the investment…
“So the dog salivated when the bell rang – so what? The truth is that it is an enormously powerful force in the life of all of us. We wouldn’t have money without secondary reinforcement…Three-quarters of advertising works on pure…
A trio of thought leaders explored "The Role of Active Management in the Modern Role" with the MOI Global community at Latticework 2017. The expert panel featured Bob Robotti, Michael van Biema, and Andrew Burns. Jim Basili moderated the conversation.
Practitioners know by ample experience that investors have different priors. EMT academics assume, by theoretical convenience, that investors have common priors. Take the assumption away and the whole EMT edifice comes tumbling down.
One of the most astute Wall Street professionals I have had the pleasure of spending time with over the years is Raphael Bernstein. He asked me whether I thought the investment prospects for the company under review seemed to be…
There is ample evidence of pro-cyclical behavior by corporations and complacency on the part of investors that, experience tells me, I should resist and is the inspiration for the Buffett quote at the outset of this letter. Fortunately, I do…
Warren Buffett is another fashionable subject when it comes to the stock market. Recently, a client transferred to us a portfolio that he had with a competitor who claimed to invest according to the principles of this great investor. However,…
While active portfolio management has come under heavy criticism for good reasons, it is equally foolish to condemn it altogether. I strongly believe it is possible to beat the market over time and that the meteoric rise of index funds…
This post by Daniel Gladis is excerpted from a letter of Vltava Fund. Daniel, based in the Czech Republic, is a global value investor and long-time MOI Global instructor. We are witnessing today a trend of investors massively moving their money…
In June, the Federal Reserve raised the federal funds rate 25 basis points to a range of 1.00-1.25%. The Fed also unveiled preliminary plans designed to slowly shrink its $4.5 trillion balance sheet by not reinvesting a portion of the…
Dan Sheehan spoke about value investing, indexing, and artificial intelligence at Wide-Moat Investing Summit 2017. Dan shared his thoughts on the future of active value investing in light of the trend toward passive management and developments in the area of…
Charlie Munger, chairman of the Daily Journal Corporation, spoke and answered questions at DJCO’s annual meeting.
Even geniuses are wrong from time-to-time. Here's Seth Klarman in his book Margin of Safety on index funds (circa 1991) http://pic.twitter.com/NS7K6DSpzY — Ben Carlson (@awealthofcs) February 7, 2017
