The Business of Value Investing.pdf

Develop a Search Strategy 89

Key Takeaways

• Start your search with the lowest-hanging fruit fi rst—the investments
  of other successful value investors. Imitation is truly the sincerest form of
  fl attery.


• Like the markets, let the media inform you, not instruct your invest-
  ment decision. The world benefi ts from great journalism; let journalists be
  journalists, not stock pickers.


• Start your search for stocks in places where fundamentals are the driv-
  ing force behind the ideas. Remember, these are idea lists, not buy lists.


• The more time you spend, the more ideas you can come up with.


• Remember that plenty of value traps surround cheap bargain
  investments.


• Read as much as you can about businesses, the economy, and
  industries.


• Always, always do your homework.

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