999 Warren Buffett Quotes - Learn His Secrets of Investing During & After Crisis
Featured
- Get link
- X
- Other Apps
The Dhandho Investor SUMMARY Chapter 12 Dhandho 401: Margin of Safety – Always!
One of the important idea in The Intelligent Investor book by Benjamin Graham recommended by Buffett is Margin of Safety – buying a business for way less that you think it is conservatively worth. When we buy an asset for substantially less than it’s intrinsic value, we reduce downside risk. For an example: $10.6 million dollar investment by Berkshire in Washington Post is now worth over $1.3 billion—over 124 times the original investment. Buffett bought his Washington Post stake at a 75 percent discount to intrinsic value. As Benjamin Graham told Senator Fulbright, all discounts to intrinsic value eventually close. Mr. Buffett knew that this gap was likely to close in a few years. It is during times of extreme distress and pessimism that rationality goes out the window and prices of certain assets go well below their underlying intrinsic value.
Watch The Dhandho Investor Chapter 11 full summary here 👇:
https://youtu.be/-ZlCg8eIYyA
Subscribe, Like and Follow me
YouTube: https://youtube.com/user/MySweetLuck
Twitter: http://twitter.com/MySweetLuck
Instagram: https://www.instagram.com/MySweetLuck/
Facebook: http://www.facebook.com/mysweetluck4u
#thedhandhoinvestor #mohnishpabrai #charliemunger #guyspier #warrenbuffett #valueinvesting #pabraifunds #chaiwithpabrai
Hey everyone, I'm Michael. I don't read books, I research them. This channel is all about best business books and I will be summarizing the books that I am researching chapter by chapter. Do Subscribe and Follow MYSWEETLUCK.
Subscribe: http://www.youtube.com/subscription_center?add_user=mysweetluck
- Get link
- X
- Other Apps
Comments
Post a Comment