To The Moon

Who is the most successful investor?

This is a tough question as all investors are successful in their own right. Having said that what is more important is what can we learn from them and what we do not agree with them. Here is a quick segment on my thoughts:

Benjamin Graham 

The cigar butt investor is famous for buying business cheaply and only to make a profit on them when the business has folded or is liquidatated for a price higher than when Benjamin Graham bought at a discount. The analogy of the cigar butt was like picking up a small cigarette on the floor that is almost essentially free and taking one last puff. That was his investment style. I love the concept of a discount. What I cannot understand was his 50% holdingsin bonds and his arbitrage methods.

George Soros

The Fundamental Spectulator is a master investor that looks for value stocks and influencesthe environment such that a profitable result can occur. This is though the theory of reflexivity. It is like a person getting McDonalds with the belief that food tastes good. After eating it, and finding that the nuggets are good, goes back to McDonald's again and also invites his friends over to McDonald to eat. I love Soro's method of going in small and only increasing position later when your theory proves to be correct. However, I am not akin to short selling or extreme diversification.

Peter Lynch 

The Story first investor. He believes in investing bottom up, with companies or products thatyou have used and have a good story. The familiarity of the business behind the stock is a must, followed by fundamental analysis. I love this style. Peter also emphasises on boring companies, boring industries and is said to hold at one point, 1,400 stocks. 

Sir John Templeton

The great Bargain hunter investor looks for Quality stocks at a bargain. He would then sell these stocks when they are overvalued. I like this aspect. However if he did not sell prior to a market crash, he will not sell after a market crash. He never invested on sentiments and always looks for business that are easy to understand.

Warren Buffett

The Master Value investor, who in the past practiced Ben Graham's style, now purchases great companies at fair value. With superior moats, low to no debt and ever growing earnings,it's easy to understand why there is no need to sell these businesses. My favourite is still him as many of his ideas is applicable to this day.

So here is my quick summary. I think Buffett isthe most successful to date but I believe that the other 4 are wonderful as well.

What do you think? I like to learn from you. 

@TigerStars@MillionaireTiger