Slow advance of battery technology and implications in an article published by Business Spectator.
More academia navel gazing on the NBN here. Some food for thought on ultimate landscape of our telecommunications industry, except that the focus is way too narrow given the inexorable convergence of IT and telecommunications. Man with a hammer syndrome I reckon.
John Hempton's usual considerable intellectual heft being targeted at the future of telecommunications spectrum, relatively heavy reading here. Relevance once again to possible future landscape for telecommunications industry.
A not-too-recent article on Walter Schloss here. Investing wisdom is timeless, and I strive to learn from the preeminent, both dead or alive.
Warren Buffett's recent interview here. Most memorable quotes:
1. "You know you have a bad business when you have a good manager and still get bad results."
2. "You are nothing to the stock. The stock does not care about your buy price. The stock has no feelings for you. It just doesn't care."
3."Over one lifetime, USA GDP has increased by nearly 6-fold. This has never happened before."
Enjoy and Prosper,
Yours One-Legged
Showing posts with label Warren Buffett. Show all posts
Showing posts with label Warren Buffett. Show all posts
Thursday, October 9, 2014
Wednesday, March 13, 2013
Everybody Loves Buffett
Everybody loves Warren Buffett.
We probably have a small contingent of young investors today who all wants to be Buffett when they grow up. I hear of investors advocating Buffettism and also Mungerism, looking for the great company with a great moat and hoping to sit on it for decades making great compounding returns. And then plonking a huge chunk of the portfolio into a few names. Diversification is out, concentration is in, that sort of thing.
It is good to aim high, but we have to learn to crawl before we learn how to walk. Personally, I think it is much more realistic to start off with a low hurdle. The genesis of value investing started with Ben Graham and cigar butt stocks. From this genesis, there is actually a continuum towards the Munger/Buffett great business at fair value method. And the continuum is not necessarily linear, but presents various pathways.
Buffett, in his legendary article on the super-investors of Graham & Doddsville, referred to an investor who made 21% per annum (16% per annum net of fees) for a total of 46 years. 21% per annum compounding for 46 years is stupendous performance. If you do not believe me, just plug in quick numbers into a spreadsheet or an online calculator and see what $1000 is worth after 46 years of compounding at 21% per annum.
This performance was achieved with huge diversification of portfolio in many stocks, and the basic premise was just to buy cheap and sell at fair value, and protecting the portfolio with wide diversification. That was it. Remember simplicity, consistency and valuation?
The Super Investor in question was, of course, Walter Schloss (RIP).
So without further ado, I present:
Sixty Five Years on Wall Street- remarks by Walter Schloss
16 Factors to Make Money in the Stock Market
Forbes Article- Experience
We probably have a small contingent of young investors today who all wants to be Buffett when they grow up. I hear of investors advocating Buffettism and also Mungerism, looking for the great company with a great moat and hoping to sit on it for decades making great compounding returns. And then plonking a huge chunk of the portfolio into a few names. Diversification is out, concentration is in, that sort of thing.
It is good to aim high, but we have to learn to crawl before we learn how to walk. Personally, I think it is much more realistic to start off with a low hurdle. The genesis of value investing started with Ben Graham and cigar butt stocks. From this genesis, there is actually a continuum towards the Munger/Buffett great business at fair value method. And the continuum is not necessarily linear, but presents various pathways.
Buffett, in his legendary article on the super-investors of Graham & Doddsville, referred to an investor who made 21% per annum (16% per annum net of fees) for a total of 46 years. 21% per annum compounding for 46 years is stupendous performance. If you do not believe me, just plug in quick numbers into a spreadsheet or an online calculator and see what $1000 is worth after 46 years of compounding at 21% per annum.
This performance was achieved with huge diversification of portfolio in many stocks, and the basic premise was just to buy cheap and sell at fair value, and protecting the portfolio with wide diversification. That was it. Remember simplicity, consistency and valuation?
The Super Investor in question was, of course, Walter Schloss (RIP).
So without further ado, I present:
Sixty Five Years on Wall Street- remarks by Walter Schloss
16 Factors to Make Money in the Stock Market
Forbes Article- Experience
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