Indian-born investor Prem Watsa is barely known although he outperformed many of the most famous Superinvestors.
Since 1985 (!), he achieved an average return of 17%.
Few investors have those returns over such a long period.
This is the Strategy that made him a billionaire๐๐ผ
Since 1985 (!), he achieved an average return of 17%.
Few investors have those returns over such a long period.
This is the Strategy that made him a billionaire๐๐ผ
1. Mistakes
Most investors fail to realize what mistakes they made.
95% of investors would label a falling stock โa mistake.โ
This conclusion is simplified and often wrong.
The real mistake is not having a plan and path (a thesis) for your investment.
Most investors fail to realize what mistakes they made.
95% of investors would label a falling stock โa mistake.โ
This conclusion is simplified and often wrong.
The real mistake is not having a plan and path (a thesis) for your investment.
2. The Prepared Mind
Being a value investor is a lot about preparation.
Often, companies that fit your requirements quality-wise are too expensive.
But that doesnโt mean they won't become attractive at some point in time.
Keep a list of companies and their fair values.
Being a value investor is a lot about preparation.
Often, companies that fit your requirements quality-wise are too expensive.
But that doesnโt mean they won't become attractive at some point in time.
Keep a list of companies and their fair values.
3. Balance
How you balance conviction and doubt will decide your investment success.
Research as thoroughly as you can and be open-minded for as long as possible.
But eventually, when the evidence is clear, make a call.
This doesn't mean neglecting new evidence.
How you balance conviction and doubt will decide your investment success.
Research as thoroughly as you can and be open-minded for as long as possible.
But eventually, when the evidence is clear, make a call.
This doesn't mean neglecting new evidence.
4. Never Fool Yourself
Almost all psychological biases go back to this.
Youโre fooling yourself to make you feel better about a decision or an outcome.
Instead, make it your goal to be as honest as possible with yourself.
Almost all psychological biases go back to this.
Youโre fooling yourself to make you feel better about a decision or an outcome.
Instead, make it your goal to be as honest as possible with yourself.
5. Business-Friendly Environment
Prem focuses on investing in countries with business-friendly environments.
Those countries will be better at handling macro headwinds.
This is especially important when it comes to emerging countries.
India is one of Prem's biggest bets.
Prem focuses on investing in countries with business-friendly environments.
Those countries will be better at handling macro headwinds.
This is especially important when it comes to emerging countries.
India is one of Prem's biggest bets.
That's it for today!
If you enjoyed it, please Like and Retweet this Thread so more people can see it!
Follow me @MnkeDaniel to learn more about Investing.
Have a great day!
If you enjoyed it, please Like and Retweet this Thread so more people can see it!
Follow me @MnkeDaniel to learn more about Investing.
Have a great day!
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