I am an entrepreneur and investor. I dropped the corporate hat this year to follow my entrepreneurial dreams. I have been investing for a long time and generally like to buy assets for cheap. I am now applying the same philosophy in my business ventures. Private assets markets are significantly more inefficient than the public markets, so buying cheap can be much more profitable in the private business
This blog is as much about investing and business as it is about my personal views on the events and issues surrounding us that may have a bearing on investments and business
Value investing was made popular by Benjamin Graham. Warren Buffet and Marty Whitman are some of the best known exponents of value investing. The best value investors are also contrarians at heart. After all, the basic aim of both the strategies is the same. Buy assets when they are cheap and sell assets when they are dear
Value investing is a very easy to understand concept but very difficult to practice. Going against the conventional wisdom is always difficult, but the tricky part is to know when cheap does not necessarily mean value. Conversely, an asset can be undervalued even when the traditional valuation ratios show the asset to be fairly or richly valued. There is always that something that needs to be considered to determine the value of the stock. I would say this is an art rather than science and there is only one way to know when you found it. If in course of the due diligence, you like the company so much that you would be willing (if financing were not an issue) to own the entire business outright, then this is probably a right stock to invest in
This blog is my articulation of what I have learnt so far and also a journey to perfect my craft. Glad to have you with me
