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October 30, 2006


Q: What’s Your Edge? A: I’m a Long-Term Investor

The Fat, Slow Pitch, by Jim Grant

David Winters is the best kind of opportunist. True to Graham and Dodd tenets, he believes that the future is a closed book and that nobody — at least not he — can forecast stock prices. From which it follows that the thing to do is to armor oneself with a margin of safety. The less you pay for an investment, the less you have to fear from the unfathomable future.

Grant goes on to write that Winters bought newspaper stocks last spring only to sell them later, presumably at a loss. “Armoring” yourself with a “margin of safety” is useless if you miscalculate.

- via Controlled Greed -

This entry was posted on Monday, October 30th, 2006 at 2:58 pm (utc+8) and is filed under Trading and Investing.

3 Responses to “Q: What’s Your Edge? A: I’m a Long-Term Investor”

  1. dan said:
    October 31st, 2006 at 9:59 am

    godfather, quick question.

    x-mas around the corner and i don’t really need anything so i’m asking my parents to purchase some books for me.

    i have just about all the trading/investing books. but not all, if it isn’t too much to ask, what are your favorite books that had the most impact on your trading and investing?

    i was going to read over your archives once again to see if you have any rec.’s, but I have to study for Stats. =(

    Thanks!
    your loyal follower,
    dan.

  2. C. Maoxian said:
    October 31st, 2006 at 10:09 am

    dan: Long ago I put together this Listmania list at Amazon that you may find useful:

    MaoXian.com’s List of Trading and Investing Books

  3. dan said:
    November 1st, 2006 at 3:45 am

    awesome, thanks mao!

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