Category Archives: Finance

Posts related to Finance, Personal Finance and related

Interesting reads 26 Sept 2013 – Economy, Currency, and few metrics


1. How The Economic Machine Works – http://bit.ly/1ftVSA7
An interesting video on how Economy works
2. How Currency Works – http://bit.ly/1gZdYI7
A simple but, excellent explanation of how the currency works – Starting from barter system, through paper currency, upto the current electronic payments, this article puts down in simple language. Minted currency started as back as 2500 BC as metal rings, coins were introduced as back as 700 BC and current paper currency were introduced during Tang Dynasty in China during 618-907 AD
3. Top 3 Useless Stock Metrics that Investors Use – http://bit.ly/1b5pl0e
In this article the author tries to explain how Price to Sales, Enterprise Value to Free Cash Flow and Return on Assets are not so useful metrics. But, I still think the ROA is still a very useful metric. But, isn’t any metric to be considered along with other key parameters / ratios?

Advertisements

Leave a comment

Filed under Economics, Finance, Investing

Interesting reads 17 Sept 2013 – Warren Buffett, Walter Schloss


1. A Dozen Sentences Explaining what I’ve Learned from Warren Buffett about Investing – http://bit.ly/1eY2pCL
One more distillation on Warren Buffet quotes – now from Tren Griffin, in his style

2. Walter Schloss’ 16 Golden Rules of Investing – http://bit.ly/1ekJMdp
Key points on Walter Schloss’ investment strategy. It is evident that great investors all think alike. Talks about Asset valuation more than Earnings visibility, Debt under control, Comparision of price to value, Strategy for selling etc.,

Leave a comment

Filed under Finance, Investing

Interesting reads 14 Sept 2013 – Warren Buffett, and John Templeton


1. The Hershey Company and the Power of Brands – http://bit.ly/1d4A241
An excellent case study on one of Warren Buffett’s great investments. There is a lot of information on what is a moat and how it is measured in with this company. I havent read this in full yet.

2. See’s Candy – The Prototype of the Wide Moat Company – http://bit.ly/12FeWFH
One more excellent case study on one of Warren Buffett’s great investments. There is a lot of information on what is a moat and how it is measured in with this company. I havent read this in full yet.

3. A Dozen Things I Learned from John Templeton about Investing – http://bit.ly/19JVKs8
A nice distillation of John Templeton’s investment tenets by Tren Griffin – Talks about buying businesses priced lower than intrinsic value, contratian approach, being optimistic in a pessimistic environment, pointers on selling and more. A nice read

4. The Warren Buffett formula: How you can get smarter – http://bit.ly/18yYzek
A nice article on how Warren and Charlie accumulated their wealth – the knowledge to create wealth – READING. A nice quote on how reading also increases our knowledge just like compound interest.

Leave a comment

Filed under Finance, Investing

Interesting reads 13 Sept 2013 – Larry Sarbit, Seth Klarman, Margin of Safety


1. The Four Pillars of Successful Business Investing – http://bit.ly/15p4dRS
This article focuses on Larry Sarbit – Chief Investment Officer of Sarbit Advisory Services from Canada and his investment tenets – Four important pillars of successful business investing – Most of these are already heard from other great investors, but, worth reading again from his perspective
2. The Importance of Paying a Bargain Price – http://bit.ly/180pUnr
Another article on Larry Sarbit – on buying at a bargain price – a detailed look at Margin of safety from his perspective – Also has an interview video embedded from youtube
3. Margin of Safety. Not Used Enough. – http://bit.ly/1d9Gt5V
A simple and nice article on Margin of Safety – Definitions from various sources and especially I like the graphical representation
4. Seth Klarman’s Investment Framework – http://bit.ly/TWrbKv
An article that distills Seth Klarman’s investment framework – Risk and Downside check, Margin of Safety, Bottom up approach, Importance of research and Developing a framework for investing

Leave a comment

Filed under Finance, Investing

Interesting reads 10 Sept 2013 – Barry Ritholtz, Bill Gurley, and Benjamin Graham


1. A Dozen Things I have Learned from Barry Ritholtz about Investing – http://bit.ly/17pj8Y7
A nice distillation of a dozen points from Barry Ritholtz, most of them are about how to handle emotions and behavioural aspects of investing.

2. A Dozen Things I’ve Learned from Bill Gurley about Investing and Business – http://bit.ly/16dFQGs
This is a compilation of various pointers like Macroeconomics’ inputs for investing, Venture Capital issues, Myth busting on entrepreneurship, competition and business valuation.

3. Benjamin Graham’s Net Current Asset Value Approach – http://bit.ly/17hhL18
The NCAV valutation methodology found by Ben Graham in 1930s still hold good for business valuation – though this may not be a core valuation metric, because this looks only at net current assets at liquidation value. A very frequent topic of reading, but, still interesting to read.

4. Life Advice From 18 of the Wealthiest People in History – http://bit.ly/17Wph4i
A nice collection of centuries of life quotes from greatest minds and world’s wealthiest. Very well presented in graphic form. Wow.

Leave a comment

Filed under Finance, Investing

Interesting reads – 08 Sept 2013 – Warren Buffett


1. What Buffett Believes But Cannot Prove – http://cfa.is/1ebeQLg
Robert Hagstrom – famous author of several books on Warren Buffett has distilled a research paper – ‘Buffett’s Alpha’ (http://bit.ly/PuTop4) and gives us a three point view of Buffet’s investment strategy and explains the one which is a key to his investment success – ‘rational thinking and decision making’
2. Warren Buffett: How He Does It – http://bit.ly/17NSIW9
Though several times told and read, this article gives a quick one page recap of Buffett’s key principles on how he selects companies. Highlights High and stable ROE, Low Debt, Increasing profit margins, Duration in markets (moat and competitive advantage), Franchisee VS Commodity, and Margin of safety

Leave a comment

Filed under Finance, Investing

Interesting reads 28 Aug 2013 – PEG Ratio, John Maynard Keynes, Business Checklist, Phillip Fisher, Indian economy, and Special Situations


1. Beware The PEG Ratio – http://bit.ly/16QlC1j
What are the other factors to look at and how we can get distracted just by blindling following the PEG ratio
2. A Dozen Things I’ve Learned About Investing from John Maynard Keynes – http://bit.ly/19WLS2q
A nice compilation of John Maynard Keynes’ Financial wisdom
3. Tom Gardner’s Great Business Checklist – http://bit.ly/14DeTfb
An useful checklist for analysing and filtering out good businesses to invest in
4. 10 Don’ts for Investors from Phillip Fisher – http://bit.ly/16EFm85
Taken from Common Stocks and Uncommon profits, and good compilation of 10 key points from Phillip Fisher for investors
5. There Are Plenty Of Reasons To Believe India Will Avoid A 1991-Style Crisis – http://read.bi/16MK7QC
A nice article by Business Insider on India’s current economic cycle and highlighting the positives of our economy.
6. How To Invest In Special Situations – 5 Essential Criteria – http://bit.ly/143as9J
A nice article that defines a special situation, and a formula from Benjamin Graham to capture the values and five key points to consider while investing in special situations

Leave a comment

Filed under Finance, Investing