Invest Like a Guru: How to Generate Higher Returns at Reduced Risk with Value Investing

One of the best investment book I read so far. Clearly illustrates the limitations of variation investment styles and strategy. Must read for beginners

I have already read all the so called bibles of investment books and hence I was prepared for not many surprises but I was damn wrong. So far you can find the wisdom of all good book at one place with great insight. Now I consider this book is in the Bible list. A hidden gem

This is a good book to learn about value investing and how to avoid the value traps. It also helps you build the check list before you invest in a stock. Chapter related to valuation will teach you how to think about various businesses available in the market.

Good summary of value investing which is packed in 200 pages. Don't read if you looking for a magic formula. The book will only make you skeptical as you realize the difficulty of beating markets over the long term. Though there is frequent reference to guru focus this book is not a marketing pitch.

A very simple and wonderful summary of all stock Gurus

This book provide you what works in the market with statistical proof.Nicely written and well explained the contents and helps you to focus on the right path of investing.

Good book.

Must read those who investing for long term. Value investing is intelligent investing as Charlie munger says.Guru focus website is very useful.

Se você tiver que escolher apenas um livro para ler sobre investimentos no mercado de ações, leia este! Uma abordagem bem completa da analise de ações usando value investing. Alem de ensinar a analisar as ações, o autor traz as principais ideias de Warren Buffett, Peter Lynch e outros gênios do mercado de ações. O livro mais completo do tema que já li e pretendo reler. Vale muito a pena a leitura!

A great read, packed with some of the best methods and practices from the world's greatest investors. Lots of stats and charts reveal times when certain strategies work, and when they don't. For those looking for a basic guide on value investing, this book takes many of the main ideas from other books, combines it with the author's own research, and the result is a logical and easy to read resource on value (or fair value) investing.

I use the research site GuruFocus almost daily. It’s my go-to source for fundamental stock research, and the screeners and graphing tools alone would be well worth the subscription cost.So, I was thrilled to find out that GuruFocus founder Charlie Tian, PhD recently authored a book, Invest Like a Guru: How To Generate Higher Returns At Reduced Risk With Value Investing.Tian doesn’t have a background in finance. He’s a scientist with a PhD in physics and an expert in fiber optics and lasers. Perhaps because of his unorthodox background Tian approaches the investing process in a scientific way, picking apart the strategies of successful investors to see how they work. Much of Invest Like a Guru – and GuruFocus too, for that matter – is focused on the strategies of wildly successful value investors such as Warren Buffett, Peter Lynch and Donald Yacktman.The dominant theme of the book is quality. Buffett famously said “It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price,” and Tian spends most of Invest Like a Guru expanding on that core idea. Chapter 6 is particularly useful as a 20-point checklist of criteria to look for when seeking out quality companies, including consistent profitability, capital efficiency and insider ownership.But while Invest Like a Guru is full of solid advice in what to look for in a stock, it’s far more useful in telling you what to avoid. As a case in point, Tian dedicates a chapter to deep-value investing, and I personally consider this the most important chapter in the book. I myself have gotten suckered into deep-value plays in the past, and they rarely seem to work out as planned or on the timeframe I had hoped.Deep-value investing is what Warren Buffett called “buying dollar bills for 40 cents” earlier in his career. Later, he mostly eschewed the strategy, calling it “cigar-butt” investing.The rationale is easy enough to understand: It’s hard to lose money buying a company that is worth more dead than alive. If a company’s net assets are worth significantly more than its current market price, management could sell off the company for spare parts and deliver a decent profit to shareholders. And generally, that would be the right move. Remember, if a stock is trading that cheaply, chances are good that it is a company with very deep problems.The problem is that it never quite works out that way. Monetizing assets is messy and complicated, and management has a vested interest in keeping the enterprise going. And the longer they do, the more value gets eroded.As a case in point, consider the case of Sears Holdings. Eddie Lampert and Bruce Berkowitz – both respected value investors – have effectively bet their careers on Sears in the belief that its real estate and brand portfolios represented massive untapped value. They problem is that the Sears retail business continues to deteriorate around them. They may eventually unlock the value they had hoped to, but it will have cost them dearly in money, reputational damage and – perhaps most importantly – opportunity cost. Had they focused their energies elsewhere, they might have made far better profits with far less headache.Buffett himself learned the same lesson with Berkshire Hathaway, which was a failing textile producer when Buffett originally bought it. Berkshire eventually failed, but only after Buffett had wasted untold time and energy (not to mention money) trying to keep it afloat. Buffett called his purchase of Berkshire Hathaway a “$100 billion mistake.”Tian finishes the chapter with the simple observation that “There are better ways to make money.”If you’re new to value investing, I highly recommend Invest Like a Guru. But even if you’re a seasoned investor, you’ll find plenty of insightful food for thought. My compliments to Tian on a solid addition to the value investor’s library.

La verdad es Charlie lo que ha hecho es coger muchos libros, agitarlos y escribir Invest like a Guru.No ha inventado nada pero ha mezclado muy bien lo esencial de Buffett, Lynch, etc. Además, trata ejemplos muy recientes, ya que el libro tiene menos de 1 año. Se agradece leer libros de esta temática del año 2016 cuando la mayoría son del siglo pasado.En resumen, me gusto mucho leerlo, los mejores del año 2017 junto con How to build wealth de Pat Dorsey. Eso sí, solo está en inglés.Como crítica la tapa dura es muy sosa y sobria, totalmente negra. Aunque eso es lo menos importante en un libro de inversión en valor.

Very good and easy to read book. It had a few thought provoking insights and generally I found it very informative.