CHAPTER 18. INTELLIGENT INVESTING IS ALL ABOUT UNDERSTANDING INTRINSIC VALUE

Chapters in this book

1. Frontmatter i
2. CONTENTS ix
3. FOREWORD xi
4. CHAPTER 1. INTRODUCTION: THE BEST INVESTMENT YOU CAN MAKE IS AN INVESTMENT IN YOURSELF 1
5. SECTION I. ACHIEVING WORLDLY WISDOM
6. CHAPTER 2. BECOMING A LEARNING MACHINE 9
7. CHAPTER 3. OBTAINING WORLDLY WISDOM THROUGH A LATTICEWORK OF MENTAL MODELS 25
8. CHAPTER 4. HARNESSING THE POWER OF PASSION AND FOCUS THROUGH DELIBERATE PRACTICE 33
9. SECTION II. BUILDING STRONG CHARACTER
10. CHAPTER 5. THE IMPORTANCE OF CHOOSING THE RIGHT ROLE MODELS, TEACHERS, AND ASSOCIATES IN LIFE 45
11. CHAPTER 6. HUMILITY IS THE GATEWAY TO ATTAINING WISDOM 51
12. CHAPTER 7. THE VIRTUES OF PHILANTHROPY AND GOOD KARMA 63
13. CHAPTER 8. SIMPLICITY IS THE ULTIMATE SOPHISTICATION 68
14. CHAPTER 9. ACHIEVING FINANCIAL INDEPENDENCE 78
15. CHAPTER 10. LIVING LIFE ACCORDING TO THE INNER SCORECARD 87
16. CHAPTER 11. THE KEY TO SUCCESS IN LIFE IS DELAYED GRATIFICATION 96
17. SECTION III. COMMON STOCK INVESTING
18. CHAPTER 12. BUILDING EARNING POWER THROUGH A BUSINESS OWNERSHIP MIND-SET 117
19. CHAPTER 13. INVESTING BETWEEN THE LINES 123
20. CHAPTER 14. THE SIGNIFICANT ROLE OF CHECKLISTS IN DECISION-MAKING 128
21. CHAPTER 15. JOURNALING IS A POWERFUL TOOL FOR SELF-REFLECTION 139
22. CHAPTER 16. NEVER UNDERESTIMATE THE POWER OF INCENTIVES 145
23. CHAPTER 17. ALWAYS THINK ABOUT THE MATH, BUT AVOID PHYSICS ENVY 154
24. CHAPTER 18. INTELLIGENT INVESTING IS ALL ABOUT UNDERSTANDING INTRINSIC VALUE 161
25. CHAPTER 19. THE THREE MOST IMPORTANT WORDS IN INVESTING 171
26. CHAPTER 20. INVESTING IN COMMODITY AND CYCLICAL STOCKS IS ALL ABOUT THE CAPITAL CYCLE 181
27. CHAPTER 21. WITHIN SPECIAL SITUATIONS, CAREFULLY STUDY SPINOFFS 199
28. SECTION IV. PORTFOLIO MANAGEMENT
29. CHAPTER 22. THE HOLY GRAIL OF LONG-TERM VALUE INVESTING 209
30. CHAPTER 23. THE MARKET IS EFFICIENT MOST, BUT NOT ALL, OF THE TIME 229
31. CHAPTER 24. THE DYNAMIC ART OF PORTFOLIO MANAGEMENT AND INDIVIDUAL POSITION SIZING 243
32. CHAPTER 25. TO FINISH FIRST, YOU MUST FIRST FINISH 253
33. SECTION V. DECISION-MAKING
34. CHAPTER 26. READ MORE HISTORY AND FEWER FORECASTS 269
35. CHAPTER 27. UPDATING OUR BELIEFS IN LIGHT OF NEW EVIDENCE 284
36. CHAPTER 28. LIFE IS A SERIES OF OPPORTUNITY COSTS 301
37. CHAPTER 29. PATTERN RECOGNITION 307
38. CHAPTER 30. ACKNOWLEDGING THE ROLE OF LUCK, CHANCE, SERENDIPITY, AND RANDOMNESS 321
39. CHAPTER 31. THE EDUCATION OF A VALUE INVESTOR 333
40. CONCLUSION: UNDERSTANDING THE TRUE ESSENCE OF COMPOUNDING 350
41. APPENDIX A. SLOW DANCE 375
42. APPENDIX B. IF– 377
43. ACKNOWLEDGMENTS 379
44. NOTES 383
45. BIBLIOGRAPHY 405
46. INDEX 423