MARGIN OF SAFETY INVESTING – CHAPTER 6!

We continue with our summaries of the very best book out there, Margin of Security by Seth Klarman! This is chapter 6 going over:

0:00 Margin Of Safety Chapter 6
2:58 Waiting For The Right Pitch
6:37 Organization Valuation
9:29 Margin Of Safety
15:52 Crashing Market
18:08 Efficient Market Hypothesis
20:54 Worth Pretenders

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33 Comments

    1. π—ͺ𝗛𝗔𝗧𝗦𝗔𝗣𝗣 π— π—˜ (+𝟭𝟰𝟴𝟬𝟴𝟭𝟴𝟡𝟳𝟰𝟡 ) says:

      πŸ‘†πŸ‘†πŸ‘†πŸ‘†πŸ‘†πŸ‘†πŸ“₯

    2. π—ͺ𝗛𝗔𝗧𝗦𝗔𝗣𝗣 π— π—˜ (+𝟭𝟰𝟴𝟬𝟴𝟭𝟴𝟡𝟳𝟰𝟡 ) says:

      ▢️ For PrΓΆfΓ―tΓ£ble ÏnvΓ«stmΓ«nt ..πŸ“₯πŸ“₯

    3. @MyFinancialJourney everything will be so cheap next year because of this recession! So it will seem like all stocks are good values

    1. π—ͺ𝗛𝗔𝗧𝗦𝗔𝗣𝗣 π— π—˜ (+𝟭𝟰𝟴𝟬𝟴𝟭𝟴𝟡𝟳𝟰𝟡 ) says:

      ▢️ For PrΓΆfΓ―tΓ£ble ÏnvΓ«stmΓ«nt ..πŸ“₯πŸ“₯

  1. Sven, can you post videos for books two chapters a week? This way we can learn about the books at double the speed and you can make more content slightly easily.

    Also, just to add, love your video, you are too good.

    1. more content slightly easily??? Do you know how much work goes into this and preparing it???? :-))) I wish I could!!!

    1. π—ͺ𝗛𝗔𝗧𝗦𝗔𝗣𝗣 π— π—˜ (+𝟭𝟰𝟴𝟬𝟴𝟭𝟴𝟡𝟳𝟰𝟡 ) says:

      πŸ‘†πŸ‘†πŸ‘†πŸ‘†πŸ‘†πŸ‘†πŸ“₯

    2. π—ͺ𝗛𝗔𝗧𝗦𝗔𝗣𝗣 π— π—˜ (+𝟭𝟰𝟴𝟬𝟴𝟭𝟴𝟡𝟳𝟰𝟡 ) says:

      ▢️ For PrΓΆfΓ―tΓ£ble ÏnvΓ«stmΓ«nt ..πŸ“₯πŸ“₯

  2. Value investing is a much better long term strategy than trading on technicals but I can’t help but feel that it’s just a different way of timing the market, in the end value investors are trying to time the market to buy when the fundamentals are great and the price is right.
    This is an observation rather than a criticism, in the end all strategies try to time the market one way or another.

    1. You’re not timing the market or you’re doing value investing wrong. You’re using different criteria to value a stock. You’re not simply buying or selling based on the price the market is giving you.

  3. Hi Sven thanks for this book summary and everything you do. I think it would be a great idea making a video about very concentrated portfolios and no diversification in stocks, like Munger or Li Lu’s 4-5 stocks, Pabrai just 1 even Buffett 50% apple. Saluti!

    1. Sven has to update on it, add more stocks, but given what is going on it is likely in the red :-)))

  4. Thanks Sven for summarizing this great book. Ineed knowing when to realise losses is as necessary as difficult for anyone. This year is proving specially tough on this aspect. These days I find that low PE ratio stocks are generally cheap for a reason, and good stocks aren’t cheap yet. Definitely a challenging year from which to learn a lot πŸ™‚

  5. If a stock is removed from an index does that make it a potential buy? I mean all of the mutual fund managers and index fund managers will have to sell putting pressure on the price.

  6. Thanks Sven! That said, knowing that the stock market is a zero sum game, if the S&P is flat for the next 10 years and meanwhile someone is making 10x… who’s losing? Buffet, Klarman, Smith, Burry, Munger, Ackman, LiLu or Dalio ? Like they say, if you’re at the poker table and you don’t know who the sucker is, that means it’s you. Anyway, great summary πŸ™‚

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