Modern Security Analysis: Understanding Wall Street Fundamentals……. With the crash of 2008 still ringing in the market’s collective ears, the value investing philosophy has never seemed more relevant or sound. But in the eighty years since Benjamin Graham and David Dodd’s Security Analysis took the investing world by storm, much has changed in the investing environment. Working from the simple guiding principle that “safe and cheap” is the most reliable way to minimize investment risk while maximizing long-term returns, Whitman, over the course of his more than fifty years as an investor and fund manager, has developed an investing approach that has made fortunes for his many clients—and himself—in all economic climates. A book that is sure to become an investing classic, Modern Security Analysis: Understanding Wall Street Fundamentals reveals the details of Whitman’s approach to analyzing businesses and the securities they issue. While conventional approaches to investing, including Graham and Dodd fundamentalism and academic finance, take a top-down approach to analyzing securities and businesses, the bottom-up approach you’ll discover here looks at companies not merely as aggregates of operational cash flows and earnings—their pure going concern attributes—but also as entities actively involved in wealth-creating “resource conversion” activities. In essence, that entails identifying a company’s [...]
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