This book gently introduces you to the world of value investing. You will learn about the marvels of compound interest, eighth wonder of the world, through the vantage points of Evolution, Warren Buffett, and Computers. Then you will master the basic concepts of accounting by playing a game to prepare four key financial statements - Income Statement, Retained Earnings, Balance Sheet, and Cash Flow Statement. And connect them all using two key ratios - ROIC and ROE.
You will learn how to read an annual report by analyzing Alphabet Inc, holding company of Google, from the vantage points of Business, People, and Price. Then you will learn about the fallacies of human mind and see how to minimize them so that you don't lose money. No prior knowledge about investing is necessary to read this book. If you have passion, curiosity, and willingness to work hard then this book acts as the key to open the doors of value investing. Some of the links to videos and other materials will not work properly in Kindle. If you are ok to read it off Kindle then you can download the PDF version of the book for free from my blog.
The book lives up to its title - it is definitely a gentle & practical introduction, hence is good for beginners. A bit lacking in breadth, but it tries to compensate for it by covering Alphabet in-depth, which makes the Author's circle of competence quiet evident - Software. Would have been even more better if they would have ventured into other sectors, even if by a bit.
It does what it says...it introduces you to value investing in the best possible way. Apart from the free knowledge that the author provides, the best part is that i got multiple new sources of books and blogs to read from his book. You are awesome sir. Thank you so much.
This is the worst introduction you can ever get. Stories mask the real point e.g the compound interest story is boring and dragging. To make the point clear that you either have to have very long time when compounding at low interest rates or very high interest rates for a relatively short period to really make big returns,he goes on&on. The chapter on Accounting is better left out. Lot of content is disconnected.
Started awesome with a superb chapter on Computing, progressively turned out to be yet another typical value investing book with no new perspective. 4 star just because of the 1st chapter, which is the best part of the book
Excellent compilation of notes from Jana about everything he knows on value investing. I really enjoyed reading most of it, and I'm looking forward reading the list of recommendations he makes in this book.
Jana's efforts on explaining the process of Value Investing is exceptional. His way of explaining things in simpler manner and recommended readings will give you more understanding into the subject.