Value Investor Journal ®

[Value Investor Journal ® @VJ_Rabindranath]

Let me share a real-life story.

The “Next” Warren Buffett I know.

A thread. 🧵

1/ This story may sound like “Tuesdays with Morrie.” Because whenever I would meet this guy I would try to pick his brains on how to live a simple life and how he goes about investing.

[MoneyTalkWithL @LarissaFernand]

@VJ_Rabindranath This is something I have often wondered about.
Is valuation insignificant when looking at a decade? And, in the age of so much disruption, can we even have that long a time frame - 2 decades?

@vipuls1979 you had some views on valuation over the long term, if I remember rightly.

[Value Investor Journal ® @VJ_Rabindranath]

Investment truth, beautifully written.

[Ravi Dharamshi @ravidharamshi77]

I have always found the obsession with dividing the market into large caps, midcaps and small caps somewhat futile. And when we get these questions asked by investors or TV anchors, there is no choice but to respond...but does it really help?

Saying “small caps will do well” or “midcaps should be avoided” often has about as much analytical coherence as saying that all stocks beginning with the letter M will do well— Letter S will do badly. Within every market-cap bucket, businesses differ enormously in quality, growth, balance sheets, governance, valuations and industry structure. Drivers of each businesses are very different. Their only common feature is their current market capitalisation.

Market-cap labels may be useful for defining mandates, measuring liquidity or constructing benchmarks. They are not an investment thesis. "I want to invest in mid caps" should not be a starting point for any allocation.

For a stock picker / business analyst, the real questions remain: Is this a good business? Is the opportunity large? Can it compound? Is management capable and trustworthy? And are we paying a sensible price?

The market cap is an output of the Size of the opportunity, the business quality and its valuation. It should not become a substitute for understanding either. #Markets #smid #businessanalyst #notmarketanalyst

[Value Investor Journal ® @VJ_Rabindranath]

"Margin of safety" that spread between the price you pay and the value you receive should be your primary source of returns. Then improvement in business fundamentals & upward revision in expectations are the bonus component of returns. I call this "Don't try too hard" investing.

[Value Investor Journal ® @VJ_Rabindranath]

While we teach, we learn - Seneca

[Value Investor Journal ® @VJ_Rabindranath]

Someone asked me 'how would you describe the stock market, if you had to, in one simple line?'

My response:

'A place where individually people are stupid but collectively wise.'

[Value Investor Journal ® @VJ_Rabindranath]

@SunDudez Couldn't agree more

[Value Investor Journal ® @VJ_Rabindranath]

The lowest form of intelligence is to have an opinion on everything under the sun. Being opinion-less on things that don't matter at all is a strength - not a weakness.

"If you wish to improve," Epictetus said "be content to appear clueless or stupid in extraneous matters."

[Value Investor Journal ® @VJ_Rabindranath]

"The best way to minimize risk is to think."

-- Warren Buffett

[Dhaval (Investment Books) @InvestmentBook1]

Personal Finance Tips

Credit - @VJ_Rabindranath

[Value Investor Journal ® @VJ_Rabindranath]

@SunDudez First let's get there, then we will worry about the second order effects....☺️

[Value Investor Journal ® @VJ_Rabindranath]

Albert Einstein said: There r five ascending levels of intellect: Smart, intelligent, brilliant, genius and simple

Likewise, there r five ascending levels of market participants: Gamblers, speculators, traders, investors & owners

The simplest way to invest is to be an owner

[Value Investor Journal ® @VJ_Rabindranath]

I did Ankit. Thank you.

Well written. Must read.

[Ankit Kanodia @kanodiaankit12]

Leave everything and read it now. Thank me later. :)

https://t.co/H1ctTaydyE

[Value Investor Journal ® @VJ_Rabindranath]

Your precious, but very limited resources:

1. Memory
2. Will power
3. Energy
4. Attention span (Focus)
5. Capital (Savings) and
6. Time

Use them carefully and wisely.

Learn to say “No” to a lot of things: so you can say "Hell Yeah" to what matters the most.

[Value Investor Journal ® @VJ_Rabindranath]

Investing is simple, but not easy.

-- Warren Buffett

Investing is complex, but not complicated.

-- Robert Hagstrom
The Warren Buffett Way

[Value Investor Journal ® @VJ_Rabindranath]

@JhhaSndeep Appreciate your thoughts. Thank you.

[Value Investor Journal ® @VJ_Rabindranath]

Let me share a real-life story.

The “Next” Warren Buffett I know.

A thread. 🧵

1/ This story may sound like “Tuesdays with Morrie.” Because whenever I would meet this guy I would try to pick his brains on how to live a simple life and how he goes about investing.

[MoneyTalkWithL @LarissaFernand]

@VJ_Rabindranath This is something I have often wondered about.
Is valuation insignificant when looking at a decade? And, in the age of so much disruption, can we even have that long a time frame - 2 decades?

@vipuls1979 you had some views on valuation over the long term, if I remember rightly.

[Value Investor Journal ® @VJ_Rabindranath]

Charlie Munger on what it takes to become a better investor.

[Value Investor Journal ® @VJ_Rabindranath]

@Vivek_Investor Thank you Vivek. 🙏

[Value Investor Journal ® @VJ_Rabindranath]

Re-reading Richer, Wiser, Happier CH on Howard Marks) by @WilliamGreen72

If u r fearful to take action in an environment like now, remind yourself:

"In the investment business, it's very hard to do the right thing and it's impossible to do the right things at the right time"

[Value Investor Journal ® @VJ_Rabindranath]

@NSuresh_ECW @dmuthuk @Vivek_Investor @datta_arvind @oldschoolinvest @MohnishPabrai @SKundojjala @_healthZwealth_ @Sectorsignals @abhymurarka @shiladitya4u Wish you the very best. Happy Birthday Suresh.

[Value Investor Journal ® @VJ_Rabindranath]

@Ronitper Be curious, keep an open mind and keep learning the way you are doing now. I am sure you are already 90% ahead of the crowd. Good luck Ronit.