Over the past few years of my investing, I have done reasonably well. The shocking part though is I have done well just by knowing which sector to invest in. For example, I was bullish on the Banking sector and by sheer luck (and nothing else!), I was able to generate decent returns. Again, in a bull market, who doesn’t make money? I’d say, I have been part of the tide which lifted all boats.
Now that the thrill of just playing on the stock market like a monkey has subsided, I want to learn about the nitty-gritty of value investing. I probably know a miniscule part of value investing (as miniscule as an electron I guess) right now, and this blog is an endeavor to experiment and learn about value investing.
I am a huge fan of Prof Sanjay Bakshi, who teaches at MDI, India. Although I have never met him, he has had an enormous influence on my thought process in investing. He talks about 10 value investing themes (here) and I only hope to learn atleast 3-4 themes in a comprehensive fashion.
The second person who has had an influence is Shankar. Again, I have not met him but his thought process has had a fantastic influence. He has stopped writing for quite a while now, but you can still find gems of his writing here.
I’d be lying if I say that I have not been influenced by Magic Formula of investing, promoted by Joel Greenblatt. It can be a starting point for anyone to start on the path of investing and I kicked myself for some time not to have know this earlier. Magic Formula investing makes investing look very easy (atleast for starters!) and once curiosity is aroused, the complexities of value investing would look like a healthy challenge to overcome.
I have linked to almost all financial/value investing websites I follow in the blogroll. I hope to spread the enormous wisdom each of these guys have written over the years through this attempt.
Again, I strongly recommend you not to follow anything I say on this blog as my reading on a particular situation might be drastically different from reality. Please invest on my ideas at your own risk.