Value Investing - E-book - ePub

The Value Investing can be defined as a set of principles that, when understood and followed, lead the investor to success ina long-term investment strategy. Fundamentally, it has to do with buying great companiesactions, but they are poorly evaluated due to factors inherent inthe stock market, such as the unpredictability and irrationalityin the short term. It is common that you reduce the market value of stock forless than its real value.
But a shrewd investor who knows theconcepts and strategies of value investing, know how to takeadvantage of this momentary incoherence. The Valu Investing concept was introduced by BenjaminGraham in his book Security Analysis, published in 1934. Sincethen, investors know that the stock market should be treatedwith caution and with long-term follow bias successfullyGraham's teachings.