“Ultimately, value investing lies at the intersection of economics and psychology.
I’ve joked that it’s a marriage of the calculator and a contrarian streak.
While value investing has evolved in the sense of achieving greater sophistication, along with the rest of the investment business, the basic principles—the idea of investing with downside protection using numerous methods to assess value—have stayed the same….
And it’s important for people to understand… that a value investor doesn’t need the whole market to be cheap.
A value investor needs a handful of investments to be bargain-priced, to be inefficiently priced. You can build a portfolio on 10 great investments.
You don’t need the whole market.” Seth Klarman
(via the book How to Invest) Telegram@AlliesFin
By: via Allies Fin Serve Stock Market
