Publications

Buffettology

Type
Link
Cost
Paid
Published
1997
Updated
2012
Full Name
Buffettology: Warren Buffett’s Investing Techniques

From a duo with privileged wisdom, Mary Buffett and David Clarke, comes BUFFETTOLOGY, the most comprehensive explanation ever of the Warren Buffet’s unique investment techniques. This book unveils how this legendary investor determines where he puts his money. Using Warren Buffet’s system to unfold a company's potential economic merit and the proper price to pay for its stock, BUFFETTOLOGY illustrates the actual mathematical models and equations. With this account, investors will come to a full understanding of the billionaire’s masterful insight and see that investing is most intelligent when it is most businesslike. Buffettology can show any investor, from beginner to savvy pro, how to create a profitable portfolio.

  • This breakthrough book offers a full-blown explanation of how Buffett uses Business Perspective Investing as a wealth-building tool.

  • Citing many fascinating case histories and examples, Buffettology shows us what kinds of companies buffett looks for and why, and which he avoids and why.

  • Citing many fascinating case histories and examples, Buffettology shows us what kinds of companies buffett looks for and why, and which he avoids and why.

  • In addition to providing in-depth analysis, this book gives the arbitrage equation he uses to determine the positions he should take.


Through this book, you will:

  • Learn how to approach investing the way Buffett does, based on the author's firsthand knowledge of the secrets that have made him the world's second wealthiest man.

  • Use Buffett's proven method of investing in stocks that will continue to grow over time.

  • Master the straightforward mathematical equipment that assists Buffett in making investments.

  • Examine the kinds of companies that capture Buffett's interest, and learn how you can use this information to make your own investment choices of the future.


Table of Contents

Part I. The Art of Basic Buffettology

  1. Before You Begin This Book

  2. How to Use This Book

  3. Roots

  4. Investing from a Business Perspective

  5. What Is Businesslike Investing?

  6. Warren's View of Earnings

  7. The Price You Pay Determines Your Rate of Return

  8. The Corporation, Stocks, Bonds — a Few Useful Explanations

  9. Valuing a Business

  10. The Only Two Things You Need to Know About Business Perspective Investing: What to Buy — and at What Price

  11. What We Can Learn from Warren's Secret Weapon: The Magic of Compounding

  12. Determining What Kind of Business You Want to Own

  13. The Theory of an Expanding Intrinsic Value

  14. The Mediocre Business

  15. How to Identify the Excellent Business — the Key to Warren's Good Fortune

  16. Nine Questions to Help You Determine If a Business Is Truly an Excellent One

  17. Where to Look for Excellent Businesses

  18. More Ways to Find a Company You Want to Invest In

  19. What You Need to Know About the Management of the Company You May Invest In

  20. When a Downturn in a Company Can Be an Investment Opportunity

  21. How Market Mechanics Whipsaw Stock Prices to Create Buying Opportunities

  22. Inflation

  23. Inflation and the Consumer Monopoly

  24. A Few Words on Taxation

  25. The Effects of Inflation and Taxation on the Rate of Return, and the Necessity to Obtain a 15% Return on Your Investment

  26. The Myth of Diversifications Versus the Concentrated Portfolio

  27. When Should You Sell Your Investments?

  28. Warren's Different Kinds of Investments

Part II. Advanced Buffettology

  1. The Analyst's Role in Ascertaining Earning Power

  2. The Mathematical Tools

  3. Test #1, to Determine at a Glance the Predictability of Earnings

  4. Test #2, to Determine Your Initial Rate of Return

  5. Test #3, to Determine the Per Share Growth Rate

  6. Determining the Value of a Company Relative to Government Bonds

  7. Understanding Warren's Preference for Companies with High Rates of Return on Equity

  8. Determining the Projected Annual Compounding Rate of Return, Part I

  9. Determining the Projected Annual Compounding Rate of Return, Part II

  10. The Equity/Bond with an Expanding Coupon

  11. Using the Per Share Earnings Annual Growth Rate to Project a Stock's Future Value

  12. How a Company Can Increase Its Shareholders' Fortunes by Buying Back the Company's Stock

  13. How to Determine If Per Share Earnings Are Increasing Because of Share Repurchases

  14. How to Measure Management's Ability to Utilize Retained Earnings

  15. Short-Term Arbitrage Commitments

  16. Bringing It All Together: The Case Studies

  17. How Warren Got Started: The Investment Vehicle

  18. Fifty-four Companies to Look At

  19. Waiting for the Perfect Pitch

Epilogue

Index