No longer "value investors"

From Chan noisy Lin Yu Jing by leopard
The question is weird, but the content is not complicated.
Now I have been exploring "value investment" and engaged in investment practices for more than a year. In my blog, the term "value investment" appears frequently. I recently looked at the transaction records of some Investment Masters, especially those of BA Lao, and communicated with sosme teachers and several friends. Now I suddenly have a decision that surprised me: I decided to give up the reference of "value investment" and the banner of "value investors. What I need is a rational, secure, smart, and diverse investment. I decided to be a complex transaction strategist.
Turning over several pieces of news from Wang Yawei, he has a few interesting words-"in the long term, the market does not distinguish investors by value investors or non-value investors. "Many people only stick the 'value investing 'label, but are not actually making value investment. I am glad that I have not been labeled with this label ".
I personally do not agree with some of Wang Yawei's operations. I think some of his operations do not conform to the "Security" standard or the "high probability and positive expectation" standard. However, he is able to take a specific form of extra investment, especially when the Chinese people "Buy a great company is a value investment" to maintain a self, his attempt is very meaningful. I am willing to respect the diversity of the world, and of course I will respect the diversity of the investment world. Colorful and colorful world.
Ba Lao also said, "the word" value "of value investment is superfluous." reading the old books and the old letters from Ba Lao, they did not often mention the term "value investment", nor did they claim to be "value investors". They repeatedly stressed that "rational investment" and "investment and speculation must be differentiated ". "Value investment" is more of an attitude than a "show. It is ridiculous to recite the quotations of Buffett without basic skills or independent thinking.
The core of investment is simple, that is, the pursuit of "low risk, high income", the pursuit of "high probability, positive expectations ". When we come to this market, we cannot confuse the means and objectives. I said that giving up the banner of "value investors" is not about turning the essence of investment into speculation. On the contrary, fundamental analysis is my only investment research method, evaluating internal value is still my main task. However, "a reasonable assessment of internal value and a large discount purchase within the value" is still only a means to ensure "low risk and high returns" and is not an aim, in fact, there are some "relative value arbitrage", such as IPO arbitrage. In strict sense, it does not conform to the idea of "larger discounts within the value, but the kernel is still "low-risk, high-yield ".
Looking back on more than two years of experience, it was a crazy cow in, a unilateral decline in, and a unilateral increase in. The investment performance is more dependent on the position. However, there are still a lot of things I learned over the past year. In fact, there are many points worth reviewing in. The most important thing to review is that at that time, the field of view was too narrow, too much attention was paid to stock investment, and the angle of view was not extended to the bond investment and arbitrage fields, for example, the 08-year bond investment and the risk-free arbitrage of bonds convertible between pangang and Nanshan were actually good cases that were not touched at that time. Teacher sosme said that the two blocks I analyzed were "typical value investment". I also focused on its position structure based on probability analysis, comprehensively weigh the space and probability of increase, the space and probability of decline. At that time, although I had a vague intuition about probability thinking and decision tree analysis, it was far from a thorough understanding.
Looking at the investment operation records of BA Lao, Karaman, Prius, and others, I think these investment masters are both knowledgeable and have multi-investment talent. The stock market is just one of the battlefields where they allocate funds. If you are an amateur investor, trying to find a few good companies and buy them at the right price for a long term, this is feasible. However, as a professional investor, the field of view is too narrow and the skills are too single. It is a big taboo to do a good job of capital allocation. Therefore, we need to pay attention to "complex Transaction Strategies" in the future. At least bond markets, arbitrage, and commodity investment are all useful battlefields, not just stock markets. Of course, the premise is that these fields can indeed provide lower risks, higher returns, and indeed understand them.
In "smart investors", Ge lao summarized the secrets of successful investment into "margin of security". This is a real insight. Investment is investment, and of course it is based on "value, investment is the pursuit of "low-risk, high-income" performance, security and the suppression of losses, is the minimum investment criterion. Nowadays, the term "value investment" has become entertaining in China. For me, it is more meaningful to mention "rational investment, smart investment, secure investment" and "complex transaction strategy. Giving up the banner of "value investors" is not just about giving up the investment philosophy, but not sticking to the form. In the future investment career, I will try a variety of investment methods and tactics under the general principle of "high income in pursuit of security" to get involved in the battlefield of multiple capital configurations.
BA's "smart investors" is a permanent spiritual food, especially the last chapter "margin of security" in "smart investors ", the last 10 pages read more than once every day.
Here we will record the four old teachings:
1. Know what you are doing and know your business. When an investment is made in a business model, this investment is wise. You understand the value of securities just like you know the value of the commodities you are running;
2. Do not let others operate your business, unless you can control him, or you are willing to trust his loyalty and ability unreservedly and unreservedly;
3. Do not start a transaction unless reliable calculations indicate that the transaction is profitable, especially away from the risk of small profits and heavy losses. For an enterprising investor, his operations on earnings should be based on reliable computing rather than confidence;
4. Use your knowledge, experience, and courage. If you have come to a conclusion from the facts and know that your judgment is correct, follow it and ignore others' opinions.