The Intelligent Investor - The Definitive Book On Value Investing

Commentary on Chapter 1 43

What Used to Work on Wall Street...

$0

$50

$100

$150

$200

$250

Nov-96Feb-97May-97Aug-97Nov-97Feb-98May-98Aug-98Nov-98Feb-99May-99Aug-99Nov-99Feb-00May-00Aug-00

Value of $100 invested on November 1, 1996

O’Shaughnessy Cornerstone Growth

O’Shaughnessy Cornerstone Value

O’Shaughnessy Aggressive Growth

O’Shaughnessy Dogs of the Market

Standard & Poor’s 500 stock index

FIGURE 1-2

that together, we can reach our long-term goals by staying the

course and sticking with our time-tested investment strategies.”

But “what works on Wall Street” stopped working right after

O’Shaughnessy publicized it. As Figure 1-2 shows, two of his

funds stank so badly that they shut down in early 2000, and the

Source: Morningstar, Inc.