|
How do you select investments? |
| Print | |
|
I do not have a fixed source of
investments. I try to remain as open as possible to
new ideas.
In the past my ideas have come from:
-
The screening of stock markets world-wide using time tested investing criteria such as low
price to earnings, high return on equity, low debt and low price to
book ratios.
-
Interesting companies read about
in books, magazines or internet
-
Unusual companies mentioned by
family and friends
-
Following investments of fund
managers we admire
-
Discussions with fellow investors and
newsletter readers
I however know my limits and do not invest in companies we do not understand.
Once I have identified an interesting company we conduct a financial analysis which consists of the following:
Once I am satisfied with all of the above do I invest
Financial analysis example (PDF 27 KB)
Also have a look at:
My Investment Philosophy
Our Expert
P.S. The best investing books you can read
A lot of readers have asked me for the names of the best investment books I have read. 
In order to best answer their questions I wrote an article you may also find of value. To go to the article simply click the link below:
Nine books every investor should read
|