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Long Term Value Investing

Based on the principles developed by value investors such as Benjamin Graham, Warren Buffet, Peter Lynch, Mohnish Pabrai, and others. Key principles are:

  1. Stick With Long Term Value Investing Strategies.

  2. Invest in What You Understand.

  3. Invest Like You Are Buying the Entire Company.

  4. Companies with Competitive Advantages.

  5. Find Quality Companies.

  6. Keep Cash On Hand.

  7. Require a Margin of Safety.

  8. Compounding and Patience.

To achieve these principles, you need to have a practical set of tools and skills:

  • valuation methodologies to identify securities below their intrinsic value

  • good understanding of a business with an economic moat

  • historical perspectives on a business and its culture

  • management style fit and management transparency

  • identify good sources of research tools and information

  • ability to screen for undervalued securities and focus on a few quality companies that you understand

  • stock portfolio risk management 

  • and most difficult of all is knowing your circle of competence

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