Basics of Value Investing
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Basics of Value Investing

Value investing is an investing style pioneered in the early 1920s at Columbia Business School by Benjamin Graham and David Dodd. Until then, stock market investing was driven mainly by speculation and insider information. Graham, who is known as the father of value investing, sums up the crux of value investing in his classic work The Intelligent Investor:

An investment operation is one which, upon thorough analysis, promises safety of principal and an adequate return. Operations not meeting these requirements are speculative.

Graham began teaching his value investing approach at Columbia Business School in 1928. Two decades later, Warren Buffett enrolled for the course. He mastered the value investing approach and went on to become the richest investor ever. Here's what he says about value investing:

The basic ideas of investing are to look at stocks as business, use the market's fluctuations to your advantage, and seek a margin of safety. That's what Ben Graham taught us. A hundred years from now they will still be the cornerstones of investing.

Buffett's glorious investing journey started from the basics of value investing. We believe you too can start your investing journey here...from the very basics.

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