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Li Lu Value Investing Talk: A Simple Synopsis
Whilst introducing Li Lu, Greenwald says that you'll find only 3 those that he would like to have manage his cash when he retires: Li Lu, Seth Klarman, and Greg Alexander who already manages all of Charlie Munger's fortune.

The three most important points Li Lu discovered was from Warren Buffett: a stock is really a piece of a organization, not a piece of paper; always seek a margin of safety and ignore temporary volatility.

Look at what you can lose before you look at what you'll be able to make. There are lots of methods to fail and few ways to be successful. Find one thing you might be excellent at, that you enjoy, analyze all the ways you'll be able to fail and be sure that you do not do them. When you have an intrinsic passion you will be light years ahead of the competition.

You need to know a lot more about the company that you are purchasing than other investors. But there will usually be issues that you just don't know, so purchase the business having a sufficient margin of safety to make up for the uncertainty.

You must not depend on the suggestions of others. In the event you do you won't know what to do when the stock you are holding declines. top hedge fund managers Do you hold on or do you liquidate Without having your own original analysis, you won't know what to do.

To achieve the sort of insight essential to invest in this manner you have to understand the underlying business incredibly well. Envision that you inherited the company and needed to find out all about it, as it will be the sole supply of your wealth. Study it and think about how you'll run it, and consider how you'd enhance it to maximize its worth. Then you definitely will get a feel for what it's worth.