DOCSLIB.ORG

Can Eurozone Managers Stay on Top of Rising Complexity?

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Can Eurozone Managers Stay on Top of Rising Complexity? May/June 2015 The Member Magazine for Investment Professionals CONTINENTAL LIFT: AFRICA’S GROWTH CAREER ADVICE FOR GLOBAL PROFESSIONALS A WINNING TACTIC FOR VOLATILITY? Can eurozone managers stay on top of rising complexity? May/June 2015 COVER STORY 26 Definite Uncertainty How are eurozone portfolio managers adapting to a low-yield environment, deflation fears, shifting monetary policies, and volatile fund flows? By Nathan Jaye, CFA 31 Continental Lift Africa’s long-term investment story is about growth momentum on a vast scale 26 By Chris Wright 36 Growing Pains for Sukuk Two experts discuss opportunities and challenges for the increasingly popular Islamic financial security By Nathan Jaye, CFA 31 “WHAT I’VE BEEN HEARING FROM SUKUK TRADERS IS THAT SUKUK ARE INCREASINGLY BEHAVING THE WAY CONVENTIONAL 36 BONDS BEHAVE.... IT’S CERTAINLY A SIGN THAT THE MARKET HAS BECOME MORE LIQUID AND MORE NORMALIZED.” 37 COVER ILLUSTRATION Alex Nabaum Why become an independent Advisor on Interactive Brokers’ platform • Freedom and fexibility to run your • Generate Higher Returns: own business. • Lower commissions, no ticket charges; no minimums; and no technology, software, • No contract. platform, or reporting fees. • Better executions. • Keep 100% of your fees. • Low interest rates, and higher loan values • Minimal start up and overhead costs. on portfolio margin accounts over $100K. • • Full White Branding capability with Model Portfolios, Option Analytics and Algos. customized statements. • Automated calculation, billing and withdrawal • State-of-the-art trading platform with of management and performance fees. automated allocation of stocks, options, • Manage clients’ accounts wherever they futures, bonds, CFDs or forex to come from* and wherever they want to trade subaccounts. on over 100 exchanges around the world. • Solid fnancials with $5 billion equity.1 To fnd out more, contact an IB representative by calling toll free 855-861-6414 or by visiting: ibkr.com/cfa Interactive Brokers for Institutions stocks • options • futures • forex • bonds — on over 100 markets worldwide from one account Interactive Brokers LLC - member NYSE, FINRA, SIPC. Supporting documentation for any claims and statistical information will be provided upon request. * Subject to registration requirements (US only). [1] Includes Interactive Brokers Group and its affliates. 05-IB15-900CH859 Why become an independent Advisor May/June 2015 on Interactive Brokers’ platform CFA INSTITUTE NEWS 6 In Focus Shining a Spotlight on Our Global Community • • Freedom and fexibility to run your Generate Higher Returns: By Paul Smith, CFA own business. • Lower commissions, no ticket charges; no minimums; and no technology, software, 7 EMEA Voice • No contract. platform, or reporting fees. Growing Our Profession in the Middle East By Nitin Mehta, CFA • Better executions. • Keep 100% of your fees. • Low interest rates, and higher loan values 8 APAC Focus Expanding the Global Presence of CFA Institute • Minimal start up and overhead costs. on portfolio margin accounts over $100K. • 10 The importance of practice analysis, • Full White Branding capability with Model Portfolios, Option Analytics and Algos. standard-setter recognition of the Claritas customized statements. Program, and remembering Irving Kahn, CFA • Automated calculation, billing and withdrawal 8 of management and performance fees. • State-of-the-art trading platform with VIEWPOINT automated allocation of stocks, options, 11 • Manage clients’ accounts wherever they futures, bonds, CFDs or forex to 12 A Winning Tactic come from* and wherever they want to trade subaccounts. To cope with volatility, investors can take on over 100 exchanges around the world. a lesson from football managers By Vincent McCarthy, CFA • Solid fnancials with $5 billion equity.1 15 Why We Honor Irving Kahn, CFA “When I see a distinguished investor quietly grinding out alpha because he likes it, I find it inspiring.” By William C.G. Ortel To fnd out more, contact an IB representative NEWS IS A MORE TIMELY FACTOR by calling toll free 855-861-6414 or by visiting: PROFESSIONAL PRACTICE cfa IN AN ALPHA STRATEGY. IT TENDS ibkr.com/ 18 Applying semantic analysis to investing TO BE A MORE POWERFUL SIGNAL 20 Cultural challenges for global careers IN THE SHORT TERM, COMPARED 24 Better methods to improve hiring outcomes WITH TRADITIONAL FACTORS. ETHICS AND STANDARDS 18 Interactive Brokers 41 Market Integrity and Advocacy for Institutions • Reform the fiduciary standard—now! • European research reform: global impact • Bank risk and comprehensive income reporting • Better private company reporting standards • What’s driving internet finance in China? 44 Professional Conduct Notices of disciplinary action 12 5 In Summary 48 Chapter 10 stocks • options • futures • forex • bonds — on over 100 markets worldwide from one account Interactive Brokers LLC - member NYSE, FINRA, SIPC. Supporting documentation for any claims and statistical information will be provided upon request. * Subject to registration requirements (US only). [1] Includes Interactive Brokers Group and its affliates. 05-IB15-900CH859 File information Cambridge_126114_CJBSMFin Advert 6.875x4.75in_v2 – 9 February 2015 1:25 PM Status ARTWORK APPROVALS: Originator Concept Copy Initial & date Design Artwork Acct Mgmt* *Account Management signature indicates client approval for progression to next creative development stage. The Cambridge Master of Finance Post-experience master’s degree in finance THE ENERGY OF THE FINANCIAL MARKETS. THE POWER OF CAMBRIDGE. The Master of Finance Programme for experienced professionals. For more information visit www.jbs.cam.ac.uk/mfin May/June 2015 Vol. 26, No. 3 CFA INSTITUTE PRESIDENT AND CEO ASSISTANT EDITOR Paul Smith, CFA Michele Armentrout CFA Institute Magazine (ISSN 1543-1398, CPM 400314-55) is published bimonthly—in MANAGING EDITOR GRAPHIC DESIGN January, March, May, July, September, and November—by CFA Institute. Periodicals Roger Mitchell Communication Design, Inc. postage paid at Charlottesville, VA, and additional mailing offices. POSTMASTER: [email protected] [email protected] Send address changes to CFA Institute Magazine, 915 East High Street, Charlot- tesville, VA 22902. ONLINE PRODUCTION COORDINATOR CIRCULATION COORDINATOR Statements of fact and opinion are the responsibility of the authors alone and Kara Hite Jennette Townsend [email protected] do not imply an endorsement by CFA Institute. ADVERTISING MANAGER Copyright 2015 by CFA Institute. All rights reserved. Materials may not be Tom Sours ® reproduced or translated without written permission. CFA , Chartered Financial [email protected] Analyst®, the CFA Institute logo, Claritas®, GIPS®, and CIPM® are just a few of the trademarks owned by CFA Institute. See www.cfainstitute.org for a complete list. Annual subscription rate for CFA Institute members is US$40, which is included EDITORIAL ADVISORY TEAM in the membership dues. Annual nonmember subscription rate is US$50. Shanta Acharya Kate Lander, CFA Bashir Ahmed, CFA Casey Lim, CFA THE AMERICAS EUROPE, MIDDLE EAST & AFRICA Jim Allen, CFA Michael Liu, CFA 915 East High Street 131 Finsbury Pavement, 7th Floor Jonathan Boersma, CFA Bob Luck, CFA Charlottesville, VA 22902 London EC2A 1NT Jarrod Castle, CFA Farhan Mahmood, CFA USA United Kingdom Michael Cheung, CFA Dennis McLeavey, CFA Phone: (800) 247-8132 or Phone: +44 (20) 7330-9500 Josephine Chu, CFA Sudip Mukherjee, CFA +1 (434) 951-5499 Franki Chung, CFA Jerry Pinto, CFA ASIA–PACIFIC Darrin DeCosta, CFA Linda Rittenhouse 477 Madison Avenue, 21st floor 23/F, Man Yee Building Nick Dinkha, CFA Craig Ruff, CFA New York, NY 10022 68 Des Voeux Road Jerry Donohue, CFA Christina Haemmerli Schlegel, CFA USA Central, Hong Kong Alison Durkin, CFA David Shen, CFA Phone: +1 (212) 754-8012 Phone: +852 2868-2700 Kenneth Eisen, CFA Arjuna Sittampalam, ASIP William Espey, CFA Larry Swartz, CFA BRUSSELS Julie Hammond, CFA Jacky Tsang, CFA NCI LOCARTIS European Parliament Burnett Hansen, CFA Gary Turkel, CFA Square de Meeûs 38/40 M. Mahboob Hossain, CFA Raymond Wai Pong Yuen, CFA 1000 Brussels (Belgium) Vahan Janjigian, CFA James Wesley Ware, CFA Phone: +32 (02) 401-6828 Andreas Kohler, CFA Jean Wills Aaron Lai, CFA 4 CFA Institute Magazine May/June 2015 IN SUMMARY How to Galvanize a Jellyfish “I suppose it takes a shock to make a Castle posing as the lady’s maid for Peters’ daughter. Ashe fellow see exactly what he amounts to.” and Joan soon realize that they are both after the same —P.G. Wodehouse, Something New thing: the lucrative reward that Peters is offering for the scarab. Rather than turning rivals, they join forces, agree- When Joan Valentine and Ashe Marson ing to split the reward. But the duo must overcome “novel meet, their similarities are not what strike challenges,” to borrow words used to describe the situation sparks. Both are witty and attractive. Both under Europe’s new rules on payment for research (Market are young Americans living on their own in Integrity, 42). London and trying to eke out a living with Fortunately for Joan and Ashe, they benefit from the “hack work.” But Ashe regards himself clueless inattention of Lord Emsworth, who is the anti- as a failure stuck in a rut, whereas Joan, Peters in terms of personality. Emsworth is equipped “with who has kept exploring new situations, rebukes him for his a mind so admirably constructed for withstanding the dis- lack of enterprising spirit. “Be an adventurer,” she tells him. agreeableness
Load more

Recommended publications
  • Gwen Weiss BB.Indd
    EXTRAORDINARY CENTENARIANS IN AMERICA Their secrets to living a long vibrant life R GWEN WEISSNUMEROFF PUBLISHING HOUSE 151 Howe Street, PUBLISHING HOUSE Victoria BC Canada V8V 4K5 COPYRIGHT© 2013, Gwen Weiss-Numeroff. PAGE All rights reserved. Without limiting the rights under copyright reserved above, no part of this publication may be reproduced, stored in or introduced into a retrieval system, or } transmitted, in any form or by any means (electronic, mechanical, photocopying, } recording or otherwise), without the prior A portion of the written permission of both the copyright author’s royalties owner and the publisher of this book. will be donated to the Ovarian Cancer For rights information and bulk \Research Fund. orders, please contact us through agiopublishing.com Extraordinary Centenarians in America is based on the recollections of the people commemorated in this book as well as their closest family members. Due to the possibility of human error, the author cannot guarantee the complete accuracy of the information. It should also be noted that since the time the interviews were conducted, some of these individuals have passed away. The author expresses her condolences to their loved ones and hopes this book will serve as a reminder of their incredible legacy. Although nutrition and lifestyle data has been collected and reported, the author is not dispensing medical advice or calling Extraordinary Centenarians in America this a scientifi c study. The intent of the ISBN 978-1-897435-86-1 (paperback) author is to provide information for ISBN 978-1-897435-87-8 (hardcover) readers to consider in consultation with ISBN 978-1-897435-88-5 (ebook) their health practitioners.
    [Show full text]
  • Benjamin Graham: the Father of Financial Analysis
    BENJAMIN GRAHAM THE FATHER OF FINANCIAL ANALYSIS Irving Kahn, C.F.A. and Robert D. M£lne, G.F.A. Occasional Paper Number 5 THE FINANCIAL ANALYSTS RESEARCH FOUNDATION Copyright © 1977 by The Financial Analysts Research Foundation Charlottesville, Virginia 10-digit ISBN: 1-934667-05-6 13-digit ISBN: 978-1-934667-05-7 CONTENTS Dedication • VIlI About the Authors • IX 1. Biographical Sketch of Benjamin Graham, Financial Analyst 1 II. Some Reflections on Ben Graham's Personality 31 III. An Hour with Mr. Graham, March 1976 33 IV. Benjamin Graham as a Portfolio Manager 42 V. Quotations from Benjamin Graham 47 VI. Selected Bibliography 49 ******* The authors wish to thank The Institute of Chartered Financial Analysts staff, including Mary Davis Shelton and Ralph F. MacDonald, III, in preparing this manuscript for publication. v THE FINANCIAL ANALYSTS RESEARCH FOUNDATION AND ITS PUBLICATIONS 1. The Financial Analysts Research Foundation is an autonomous charitable foundation, as defined by Section 501 (c)(3) of the Internal Revenue Code. The Foundation seeks to improve the professional performance of financial analysts by fostering education, by stimulating the development of financial analysis through high quality research, and by facilitating the dissemination of such research to users and to the public. More specifically, the purposes and obligations of the Foundation are to commission basic studies (1) with respect to investment securities analysis, investment management, financial analysis, securities markets and closely related areas that are not presently or adequately covered by the available literature, (2) that are directed toward the practical needs of the financial analyst and the portfolio manager, and (3) that are of some enduring value.
    [Show full text]
  • The Heilbrunn Center's First Annual Letter 2012 – 2013
    The Heilbrunn Center’s First Annual Letter 2012 – 2013 Greetings from the Heilbrunn Center! As we embark on another academic year, we are excited to announce the courses and events the Heilbrunn Center is supporting in conjunction with our two major themes for 2012 – 2013: highlighting women investors and celebrating 85 years of Benjamin Graham. Faculty We welcome back from sabbatical center co-director Professor Bruce Greenwald. Bruce taught Globalization with Joseph Stiglitz in July and will teach Economics Fall Semester Spring Semester of Strategic Behavior and Course Name Professor Course Name Professor Value Investing in Spring Applied Value Investing Artie Williams/ Advanced Investment Ken Shubin-Stein/Cheryl 2013. T. Charlie Quinn Research Einhorn Applied Value Investing Avi Berg/ We are very pleased to Applied Security Analysis Jon Salinas/Naveen Michelle Borre 1&2 Bhatia welcome new faculty Applied Security Analysis Ciara Burnham members: Rishi Renjen Applied Value Investing Jeff Gramm/ (EMBA) Terry Kontos (Maverick Capital), Lauren Applied Value Investing Tom Tryforos (EMBA) Applied Value Investing Mark Cooper Krueger ’02 (Esopus Creek Applied Value Investing Arnaud Ajdler Advisors), Yen Liow (Ziff (EMBA) Applied Value Investing Mike Blitzer/ Applied Value Investing Eric Almeraz/David Horn Brothers), Patrick Sullivan Guy Shanon ’11 (Ziff Brothers), Ellen Applied Value Investing Neal Nathani Carr (Capital Group), Eric Applied Value Investing Rishi Renjen/ Credit Markets and Margaret Cannella Kevin Oro-Hahn Leveraged Buy-Outs Almeraz ’02 (Apis Capital), Distressed Value Investing Dan Krueger and David Horn ’02 (Kiron Credit Markets and Margaret Cannella Economics of Strategic Bruce Greenwald Advisors), and Ciara Leveraged Buy-Outs Behavior (EMBA) Burnham ’93 (Evercore (EMBA) From Feast to Famine Margaret Cannella/Ellen (And Back Again) Carr Partners).
    [Show full text]
  • Financial History: Irving Kahn
    Personal History During Irving’s childhood, the family Irving Kahn lived on the Upper East Side of Manhat- tan, first at 14 E. 108th Street and later at 5 E. 106th Street. He was adventurous in his youth: as a Boy Scout, he hitchhiked across the country in his uniform with several of his friends. He attended De Witt Clinton High School on the far West Side of Manhattan in the neighborhood known as Hell’s Kitchen. As a student, he traveled back and forth to school each day by a variety of means, including riding the subway, walking and hitching rides on the backs of trucks and buses. After graduation, he enrolled at City College of New York (CCNY). He left after two years to pursue a career on Wall Street, frustrated by the lack of any practi- cal courses on investments. In 1931, Irving married Ruth Eastwood Perl, whom he met at Columbia Uni- versity where she was studying for her doctorate in psychology. After earning her PhD, Ruth was active in several charities, including the Jewish Board of Guardians, the First Hebrew Day Nursery and the Ackerman Institute for the Family. The couple had three children: Donald, Alan and Thomas, who was given the middle name Graham in tribute to Ben Graham. The young family lived at 413 Beach 137th Street in the Belle Harbor area of Rockaway, on the south shore of Long Courtesy Kahn of Andrew Island. He expanded the property by pur- chasing the lot in the rear and installed a tennis court there so he could enjoy his Value INvestor for the Ages favorite sport.
    [Show full text]
  • A Century of Ideas
    COLUMBIA BUSINESS SCHOOL A CENTURY OF IDEAS EDITED BY BRIAN THOMAS COLUMBIA BUSINESS SCHOOL Columbia University Press Publishers Since 1893 New York Chichester, West Sussex cup.columbia.edu Copyright © 2016 Columbia Business School All rights reserved Library of Congress Cataloging-in-Publication Data Names: Thomas, Brian, editor. | Columbia University. Graduate School of Business. Title: Columbia Business School : a century of ideas / edited by Brian Thomas. Description: New York City : Columbia University Press, 2016. | Includes bibliographical references and index. Identifiers: LCCN 2016014665| ISBN 9780231174022 (cloth : alk. paper) | ISBN 9780231540841 (ebook) Subjects: LCSH: Columbia University. Graduate School of Business—History. Classification: LCC HF1134.C759 C65 2016 | DDC 658.0071/17471—dc23 LC record available at https://lccn.loc.gov/2016014665 Columbia University Press books are printed on permanent and durable acid-free paper. Printed in the United States of America c 10 9 8 7 6 5 4 3 2 1 contents Foreword vii 1 Finance and Economics 1 2 Value Investing 29 3 Management 55 4 Marketing 81 5 Decision, Risk, and Operations 107 6 Accounting 143 7 Entrepreneurship 175 vi CONTENTS 8 International Business 197 9 Social Enterprise 224 Current Full-Time Faculty at Columbia Business School 243 Index 247 foreword Ideas with Impact Glenn Hubbard, Dean and Russell L. Carson Professor of Finance and Economics Columbia Business School’s first Centennial offers a chance for reflection about past success, current challenges, and future opportunities. Our hundred years in business education have been in a time of enormous growth in interest in university-based business education. Sixty-one students enrolled in 1916.
    [Show full text]
  • Investment Management
    Investment Management Foundation Private Wealth Management 1101 Prince of Wales Dr. Suite 115 Ottawa ON K2C 3W7 Phone 613.228.8810 Fax 613.228.5298 www.foundationpwm.com [email protected] Disclaimer Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the simplified prospectus before investing. Mutual funds are not guaranteed and are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer. There can be no assurances that the fund will be able to maintain its net asset value per security at a constant amount or that the full amount of your investment in the fund will be returned to you. Fund values change frequently and past performance may not be repeated. Labour Sponsored Investment Funds (“LSIF”) have tax credits that are subject to certain conditions and are generally subject to recapture, if shares are redeemed within eight years. Please note that Mutual Fund Representatives in Alberta are not permitted to sell LSIF. An investor proposing to borrow for the purchase of securities should be aware that a purchase with borrowed monies involves greater risk than a purchase using cash resources only. The extent of that risk is a determination to be made by each purchaser and will vary depending on the circumstances of the purchaser and the securities purchased. Discuss the risks associated with leveraged mutual fund purchased with an investment funds advisor before investing. Purchases are subject to suitability requirements. Using borrowed money to finance the purchase of securities involves greater risk than a purchase using cash resources only.
    [Show full text]
  • The 5 Best Value Investing Books
    The 5 Best Value Investing Books Value investing is a type of an investment strategy where stocks are selected based on their intrinsic value. Value investing focuses purely on the fundamentals and is considered to be an art, although various methods have cropped up over the years. For many investors, value investing has often been a subject of mystique. Benjamin Graham is considered to be the father of value investing and this art of investing shot to prominence with Warren Buffett, who is one of the more famous students having learned the art of value investing directly from the guru himself. Graham was a British born American economist and a professional investor and he began teaching in 1928 at the Columbia Business Schoool and has published various books. At the core, value investing is all about looking for companies that are incorrectly valued by the markets. Stocks picked on the basis of value investing typically have strong fundamentals which includes earnings, dividends, book value among other things which determine the “quality” or give the stock the so called intrinsic value. The actual stock price typically trades at a discount to its intrinsic value. Value investing is nothing to do with the simple picking stocks that are trading at the bottom but has to do a lot more with the fundamentals and of course the confidence in one’s analysis. Value investing requires a bit of a contrarian approach to the markets and also requires the investor to hold on to the stocks over a long period of time. One of the most commonly asked questions about value investing is why a stock would be trading at a discount in the first place.
    [Show full text]
  • Benjamin Graham
    Benjamin Graham From Wikipedia, the free encyclopedia Benjamin Graham Born May 8, 1894 Died September 21, 1976 (aged 82) Nationality United States Institution Columbia Business School, Graham-Newman Partnership Finance Field Investment Alma mater Columbia University Jean-Marie Eveillard Warren Buffett Influenced William J. Ruane Irving Kahn Walter J. Schloss Security Analysis (1934) Contributions The Intelligent Investor (1949) Benjamin Graham (May 8, 1894 – September 21, 1976) was an American economist and professional investor. Graham is considered the first proponent of value investing, an investment approach he began teaching at Columbia Business School in 1928 and subsequently refined with David Dodd through various editions of their famous book Security Analysis. Graham's disciples include Warren Buffett, William J. Ruane, Irving Kahn, Walter J. Schloss and others. Buffett, who credits Graham as grounding him with a sound intellectual investment framework, described him as the second most influential person in his life after his own father. In fact, Graham had such an overwhelming influence on his students that two of them, Buffett and Kahn, named their sons, Howard Graham Buffett and Thomas Graham Kahn, after him. Life and career Early life Benjamin Graham was born Benjamin Grossbaum in London, England[1] to Jewish parents.[2] He moved to New York City with his family when he was one year old. After the death of his father and experiencing poverty, he became a good student, graduating from Columbia University, as salutatorian of his class, at the age of 20. He received an invitation for employment as an instructor in English, Mathematics, and Philosophy, but took a job on Wall Street eventually starting the Graham-Newman Partnership.[3] Career His book, Security Analysis, with David Dodd, was published in 1934 and has been considered a bible for serious investors since it was written.[citation needed] It and The Intelligent Investor published in 1949 (4th revision, with Jason Zweig, 2003), are his two most widely acclaimed books.
    [Show full text]
  • Obituaries Heim, California
    14 THE JEWISH LEADER, MARCH 13, 2015 MY MEMORIES OF LEONARD Niimoy, YIDDISH SPEAKING VULCAN By Masha Leon, Dear Masha: world-class prominence. Jewish Daily Forward Thank you so much or your let- ter and columns. It means a lot to and did not remain, as he had at past me to find myself in print in my events,A visibly to mingle fragile with Nimoy the leftguests. the stage — a.k.a. Spock from the hit TV Zeide’s favorite paper! With my Nimoy correspondence I first met Leonard Nimoy I read and enjoy your columns I found the following Interview that regularly! I was touched by your - series “Star Trek,” who died piece about your father and to- todayat the at1973 83 onAmerican February Book 27,- tally agree that it was a pity that appearedwith his 1973 in ABAa blurb appearance: from Publish “By the 2015sellers — Convention when as a celebrityin Ana- “only 600 supporters saw the Na- ers Weekly — possibly in conjunction Obituaries heim, California. He stopped Masha Leon and Leonard Nimoy, tional Foundation for Jewish Cul- 1973 // Karen Leon ture Awards. time I was cast as the alien “Spock” in Zei gezunt, “Starplayed Trek,” aliens. I Ihad suppose appeared the reason in several was by Amy distant publishing Litvak company’s cousin of Leonard Nimoy other science fiction vehicles I usually exhibitmy mother’s booth. from Grodno clean-cut astronaut from Terra. What- ‘He looks like a goy!’ But when I replied that I simply didn’t fit the image of the in Yiddish, Schwartz nearly fainted.
    [Show full text]
  • The-VVI-Guide-To-Value-Investing.Pdf
    THE VVI GUIDE TO VALUE INVESTING Learn How to Invest Like Ben Graham, Warren Buffett, & Charlie Munger Copyright © 2018 VINTAGEVALUEINVESTING.COM THE VVI GUIDE TO VALUE INVESTING VINTAGE VALUE INVESTING COPYRIGHT © 2018 BY JOHN SZRAMIAK ALL RIGHTS RESERVED. NO PART OF THIS PULICATION MAY BE REPRODUCED DISTRIBUTED, OR TRANSMITTED IN ANY FORM OR BY ANY MEANS, INCLUDING PHOTOCOPYING, RECORDING, OR OTHER ELECTRONIC OR MECHANICAL METHODS, WITHOUT THE PRIOR WRITTEN PERMISSION OF THE PUBLISHER, EXCEPT IN THE CASE OF BRIEF QUOTATIONS EMBODIED IN CRITICAL REVIEWS AND CERTAIN OTHER NONCOMMERICAL USES PERMITTED BY COPYRIGHT LAW. VINTAGE VALUE INVESTING 500 BOYLSTON STREET BOSTON, MA 02116 VINTAGEVALUEINVESTING.COM TABLE OF CONTENTS Preface: The Young Man & The Old Prospector 1 1: Introduction 7 2: The Foundation 11 3: What is Value Investing? 18 4: Famous Value Investors 29 5: Essential Value Investing Concepts 46 6: How to Value a Stock 60 7: The Qualities of Great Companies 74 8: Behavioral Finance 78 Conclusion: Where to Find Value? 84 Appendix I: The Superinvestors of Graham-and-Doddsville 96 Appendix II: The Magic of Compound Interest 113 Appendix III: Merger Arbitrage 117 Appendix IV: Warren Buffett’s Investments: The Great, the Good, and the Gruesome 126 VINTAGEVALUEINVESTING.COM | I PREFACE: THE YOUNG MAN & THE OLD PROSPECTOR VINTAGEVALUEINVESTING.COM | 1 In 1849, there was a young man from Boston who got caught up in the excitement of the California gold rush. Like so many young men of the day who were traveling West to get rich from gold, he decided that he too would seek a fortune for himself in the California rivers, which were said to be overflowing with gigantic piles of dazzling gold nuggets.
    [Show full text]
  • Security Analysis: Principles and Technique Free
    FREE SECURITY ANALYSIS: PRINCIPLES AND TECHNIQUE PDF Benjamin Graham,David Dodd,Seth A. Klarman,Warren Buffett | 700 pages | 13 Nov 2008 | McGraw-Hill Education - Europe | 9780071592536 | English | New York, NY, United States Security Analysis: Principles and Techniques - The First Edition Rare Books Books on Google Play. Account Options Sign in. My library Help Advanced Book Search. Get print book. My library Books on Google Play. Security Analysis: Principles and Technique Analysis : Principles and Technique. Benjamin Graham. McGraw-Hill- Investment analysis Security Analysis: Principles and Technique pages. From inside the book. Contents Preface to the First Edition. Common terms and phrases actual additional adjustment allowance American amount analyst annual appear applied assets average balance sheet basis bonds calculation called capital carried cash changes charges common stock companies compared considerable considered contingent corporate cost debt deduction depreciation developed discussion dividend earnings effect enterprise Example expected expense fact factors figures fixed funds future important income tax increase indicated industry interest inventory investment investor issues less liability loss market price matter method million Note operating paid past period plant position possible practice preferred stock present profit provision purchase railroad ratio reason reported represent reserve safety security analysis selling senior share shown speculative standard statement stockholders substantial surplus Table true United utility valuation yield. Bibliographic information. Preface to the First Edition. Security Analysis. Principles and Technique First Edition - Benjamin Graham - Bauman Rare Books View Larger Image. Ask Seller a Question. Title: Security Analysis: Principles and Technique. Security Analysis: Principles and Technique Seller's Storefront. If you have questions or would like to request an image of a book via email, please contact us at princetn earthlink.
    [Show full text]
  • From Benjamin Graham to Warren Buffett
    THE EVOLUTION OF THE IDEA OF “VALUE INVESTING”: FROM BENJAMIN GRAHAM TO WARREN BUFFETT Robert F. Bierig1 Duke University Durham, North Carolina April 2000 1 Robert F. Bierig graduated summa cum laude and Phi Beta Kappa in 2000 from Duke University, where he studied economics and art history. During summer 1999, he worked for the investment firm of Ruane, Cunniff & Co. in New York City. He is currently employed as an investment banking analyst at Morgan Stanley Dean Witter in New York. Mr. Bierig grew up in Highland Park, Illinois. Acknowledgments From his freshman seminar on the life of John Maynard Keynes and in his many subsequent courses over the following four years, Professor E. Roy Weintraub instilled in me and many others an interest in the substance and history of economics. That interest led to my research on the evolution of the idea of “value investing” that is reflected in this paper. I would like to thank Professor Weintraub for his criticism and his insights that helped shape both this thesis and my development as a student of economics. 2 A Note on Sources This paper draws on the writings, speeches, and lectures of Benjamin Graham, Warren Buffett, their associates, and fellow practitioners; many biographies, interviews, and business histories; and relevant articles in newspapers, magazines, and professional journals. On the life and career of Benjamin Graham, the most balanced and thoroughly researched source is without question Janet Lowe’s Benjamin Graham on Value Investing. Lowe portrays Graham and his ideas through the eyes of several of his most devoted students, and her effort stands as the definitive biography on Graham.
    [Show full text]