What Benjamin Graham would tell you to do now: Look in the Mirror

Masterclass Greatest Investors Series - 1 of 11 - Benjamin Graham, the Godfather of Value Investing.

Benjamin Graham is the Godfather of Value Investing and taught an investment class at the Columbia University Business School for 28 years. We commence our master series with the person that Warren Buffett attributes his successes too.

Warren Buffet summarised his guru’s teachings, **Investing is most intelligent when it is most businesslike, and investors who follow Graham's principles will continue to reap rewards in the stock market.**

## 5 Investment Tips from the legend:

-Never forget to account for the psychology of the investor**, Benjamin believed that investors tend to look at situations through rose coloured glasses rather than “dark blue glasses”. The participants in the stock markets are humans subject to the corroding influence of emotions (e.g over-optimisim and vulnerable to excessive pessimism and fear).

-Thorough analysis, stocks are not merely electronic quotations, but **partial ownership in real businesses**. He stated “you must study the facts in light of established standards of safety and value.

- Fundamentals and forget the rest** - Benjamin focused on data and empirical evidence on businesses, his approach is not to be influenced by what you hear around you.

- Think long term - If you want to make money in investments you need to have the proper psychological attitude, you must **look at things in the aspect of eternity**.

- Don’t lose money** - To succeed over an investment lifetime, you don’t need to find the next Amazon, but is necessary that you avoid significant losses. **

I like, Benjamin Graham, for his realism and his teachings on how to outperform by studying the fundamentals, thinking that you are a true owner of the underlying businesses and most importantly not getting drawn by the hype of the latest news feed and speculations of the herd.

## Extra Reading materials https://www.wallstreetmojo.com/benjamin-graham-books/

1. Security Analysis

2. The Intelligent Investor

3. Storage and Stability: A Modern Ever-normal Granary

4. The Interpretation of Financial Statements,

5. World Commodities and World Currency

6. Benjamin Graham, The Memoirs of the Dean of Wall Street

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Manish Vekaria