Thank you for sharing - what I like about this investment approach is that it shifts the focus from future potential earnings to the current situation. You focus on what is and on the degree of visibility going forward. I try to identify recurring financial patterns that exist across businesses and industries by reading financial metrics together rather than in isolation. I helps me find durable and resilient businesses with an economic moat.
The hardest part of building an investment philosophy isn't finding the right books. It's finding out which lessons you'll actually follow when the position is down 35% and every headline confirms your worst fear. That test isn't in any of these books.
Action: Find your most deeply held investing principle from this list — write down the specific market condition that would make you abandon it. Knowing that condition in advance is the only real preparation.
All you need to know to start is within these books. Thank you for sharing !
Agreed! What investing books would you add?
I would definitely add : Technical Analysis of the Financial Markets, by John Murphy.
Relationship between ROIC & Growth
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ROIC funds Growth.
Growth boosts ROIC.
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BASICALLY:
G ≤ ROIC ×( 1 - DPS/EPS)
Thank you for sharing - what I like about this investment approach is that it shifts the focus from future potential earnings to the current situation. You focus on what is and on the degree of visibility going forward. I try to identify recurring financial patterns that exist across businesses and industries by reading financial metrics together rather than in isolation. I helps me find durable and resilient businesses with an economic moat.
Awesome read! Thanks!
For anyone who’s interested in my personal and clients largest position:
https://jakeinvest.substack.com/p/my-case-for-strategy?r=4eyl2f
You should check out @The Alpha Brief! Excellent articles!
great list
all are great books
Great article - some of my favorite books are on this list!
Added food for thought - Will Thorndike is currently on the board of Perimeter Solutions which is a company worth watching.
The hardest part of building an investment philosophy isn't finding the right books. It's finding out which lessons you'll actually follow when the position is down 35% and every headline confirms your worst fear. That test isn't in any of these books.
Action: Find your most deeply held investing principle from this list — write down the specific market condition that would make you abandon it. Knowing that condition in advance is the only real preparation.
Most investing frameworks reduce to one thing: avoid permanent loss, then let compounding run for 10–20+ years. Execution is the bottleneck…
These are some of my favorite investing books. Quality post.
What about The Little Book of Common Sense Investing by John Bogle?