As I posted yesterday, I came up with a structured plan how to become a Value Investor. And that I hope, that this blog will help me adhere to my plan. So today I would like to post about my plan, its objectives, and goals.
My plan calls for 3 basic steps.
1)EDUCATION
2)ANALYSIS
3)INVESTMENT
EDUCATION
This includes;
· Defining Value Investing.
· The proper information gathering & analysis of companies ripe for a value investment.
· Subsequently, how to use this information in investing.
PHASE 1
Before I start to learn all of the above, I need to have the following three objectives completed.
I. Curriculum, a list of books to read.
II. Timeline, in which the books will be read.
III. Making sure the curriculum & timeline are held to.
PHASE 2
Studying the books, in accordance to the timeline set in Phase 1.
PHASE 3
Once education is complete, there should be write-down of;
A. Philosophies & techniques learned, in addition to pitfalls to be avoided.
B. Memorandum of investment plans going forward.
C. Prepared investment checklist, for each prospective investment.
ANALYSIS
Analysis by methods gathered in step 1.
Preset periods of time weekly or monthly, for researching and analyzing companies.
INVESTMENT
Investing with methods gained knowledge of in step 1.
Each investment should only proceed after filling out of the investment checklist to be prepared in final phase of step 1.
4 comments:
Would love to hear what you come up with for Phase 1.
Dan,
Thanks for commenting, hope you will enjoy the blog.
My next post will be on that, hope to post either today or tomorrow.
But the verdict is still out; Any ideas & suggestions will be greatly appreciated.
SI
A great tool for investing can be found here. The editor uses the methods laid out by Benjamin Graham to invest in the best undervalued stocks. Hope this helps and good luck! http://www.cabot.net/Publications/BGV.aspx?source=wi01
Elyse,
Your links are great, Thanks.
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